What is the maximum price dexter should pay for equipment
Dexter company is considering purchasing equipment, the equipment will produce the following cash flows Year 1 90,000 year 2 150000 dexter requires a minimum rate of return of 10%. What is the maximum price Dexter should pay for this equipment?
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XYZ Company has an opportunity to purchase an asset that will cost the company $60,000. The asset is expected to add $12,000 per year to the company's net income.
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