accounting

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Jackson Company invests in a new piece of equipment costing $40,000. The equipment is expected to yield the following amounts per year for the equipment's four-year useful life:
Cash revenues $ 60,000
Cash expenses (32,000)
Depreciation expenses (straight-line) (10,000)
Income provided from equipment $ 18,000

Cost of capital 14%


What is the net present value of this investment in equipment, assuming no taxes are paid?

  • accounting -

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    Sra

  • accounting -

    - Whoa an iPhone app would be AWESOME!!! I tried to sign up too but they still aren't ready yet and are sending the $25 gift cards still, which is very nice of them!

  • accounting -

    it is currently not albviaale and they will notify me when information is albviaale. (Meanwhile, they'll send me an American Express gift card for $25 thanking me for my interest.)Just thought I'd let you know!

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