1. Suppose you face a MAR

1. Suppose you face a MAR

1. Suppose you face a MARR of 10% and have a two year planning horizon, i.e., you only consider years zero and one.You are considering an asset that that increase net income by $5,000 in both years, but decreases net cashflow in year zero by $20,000 and increases net cash flow by $18,000 in year one, would you buy it?Answers:A. YesB. Yes, the present worth of net income is positiveC. No, the present worht of net income is positiveD. No

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