Swell computers

timer Asked: Jan 29th, 2014

Question description

The swell computer company has developed a new line of desktop computers. It is estimated that The cash returns generated by the new product line will be $800,000 per year for the next five years, and then$500,000 per year for 3 years after that (the cash returns occur at the end of each year). At a 9% interest rate, what is the present value of these cash returns?

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