None Quincy Corp, is considering a new inventory system that will cost $750,000. The system is expected to generate positivecash flows over the next four years in the amounts of $350,000 in year one, $325,000 in year two, $150,000 in yearthree, and $180,000 in year four. Quincy's required rate of return is 0.072. What is the net present value of this project?Instruction: Type ONLY your numerical answer in the unit of dollars, NO $ sign, NO comma, and round to the nearestwhole number. E. g., if your answer is $7,001.56, should type ONLY the number 7002, NEITHER 7,001.6, $7001.6,$7,001.6, NOR 7001.56. Otherwise, Blackboard will treat it as a wrong answer.CQuincy Corp. is considering a new inventory system that will cost $750,000. The system is expected to generate positive cash flows over the next four years in the amounts of $350,000 in year one,$325,000 in year two, $150,000 in year three, and $180,000 in year four. Quincy's required rate of return is 0.072. What is the net present value of this project?Instruction: Type ONLY your numerical answer in the unit of dollars, NO $ sign, NO comma, and round to the nearest whole number. E.g., if your answer is$7,001.56, should type ONLY the number 7002, NEITHER 7,001.6, $7001.6, $7,001.6, NOR 7001.56. Otherwise, Blackboard will treat it as a wrong answer.

initial cost = 750,000cash flows are CF1 = 350,000 CF2 = 325,000 CF3 = 150,000 CF4 = 180,000required…

Answered: Quincy Corp, is considering a new…

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter19: Capital Investment

Section: Chapter Questions

Problem 15E: Gina Ripley, president of Dearing Company, is considering the purchase of a computer-aided...

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DYI Construction Co. is considering a new inventory system that will cost $750,000. The system is expected to generate positive cash flows over the next four years in the amounts of $350,000 in year one, $325,000 in year two, $150,000 in year three, and $180,000 in year four. DYI's required rate of return is 9%. What is the modified internal rate of return of this project? 10.87% 14.35% O 11.57% O 12.07%
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