Ballard inc estimates that it can generate 5200 per year in


Ballard, Inc. estimates that it can generate $5,200 per year in additional cash inflows for the next five years if it modernizes its equipment at a cost of $18,000. Ballard's minimum desired rate of return is 10%.

Using the present value factors from your text (16%), the net present value of the project is (rounded)

A. $1,712

B. $26,000

C. $8,000

D. $23,200

E. None of the other answers

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Financial Accounting: Ballard inc estimates that it can generate 5200 per year in
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