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Your Company is interest in buying a new project that will last for 7 years....

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Accounting

Your Company is interest in buying a new project that will last for 7 years. The projects internal rate of return is 12%. The project will generate annual operating cash inflows of $20,000. What is the most the company should pay for the equipment needed for this project? It will have no salvage value.

$95,844

$86,716

$9,040

$91,280

$87,400

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