Your company, "When Life Gives You Lemons Inc

Economics Dec 03, 2020

Your company, "When Life Gives You Lemons Inc." is thinking about expanding the number of stands that it currently has from 15 to 20. It will cost $200,000 today to complete the expansion. The expansion will permanently increase profits by $15.000 every year starting in one year's time. If the interest rate is 8% what is the PDV of the expansion project. Should the company do it? S50,000. Yes $17.500. Yes • -S12.500. No S12.500. No

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