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Peng Company is considering an investment expected to generate an average net income after taxes...

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Accounting

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Peng Company is considering an investment expected to generate an average net income after taxes of $3,100 for three years. The investment costs $45,600 and has an estimated $6,900 salvage value. Assume Peng requires a 10% return on its investments. Compute the net present value of this investment. (FV of $1, PV of $1, FVA of $1 and PVA of $1) (Use appropriate factor(s) from the tables provided.) (Negative amounts should be indicated by a minus sign.) AmountxPV FactorPresent Value Cash Flow Annual cash flow Residual value Select Chart 0 0 Net present value

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