Your firm has the option of making an investment in new


Question: Your firm has the option of making an investment in new software that wil cost $130,000 today and is estimated to provide the savings shown in the table over 5 years. year savings estimate

1. $35,000

2. 50,000

3. 45,000

4. 25,000

5. 15,000

should the firm make this investment if it requires a minimum annual return of 9% on all investments?

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Accounting Basics: Your firm has the option of making an investment in new
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