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# You want to start a food-truck business. It is expected to generate after-tax cash flows of \$40,000 per year in the years 1 through 4 and \$50,000 per...

You want to start a food-truck business. It is expected to generate after-tax cash flows of \$40,000 per year in the years 1 through 4 and \$50,000 per year in the years 5 through 8. If you discount these cash flows at an annual rate of 10%, what is the present value of your expected cash flows?

a. \$285,288 b. \$235,048 c. \$167,943 d. \$828,230

working out the present values (40000/1.1 1 )+ (40000/1.1 2... View the full answer

Attached is a detailed explanation... View the full answer

Option B is the... View the full answer

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