A restaurant is contemplating replacing its service staff


A restaurant is contemplating replacing its service staff with an electronic ordering process. Installing computers at each table will cost $150,000, but is expected to generate a cost savings of $40,000 per year for the next 10 years, when the computers will need to be replaced. If the restaurant has a cost of capital of 10%, what is the NPV of this investment?

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Financial Management: A restaurant is contemplating replacing its service staff
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