Sampson Corp buys equipment for $95,000
Sampson Corp buys equipment for $95,000 that will last for 7 years. The equipment will generate cash flows of $22,000 per year and will have no salvage value at the end of its life. Ignore taxes. Use 16% required rate of return. (a) What is the present value (PV) of this investment at 16%? (b) […]