Net returns from the product will be 20k per year for 10, Business Economics

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Net returns from the product will be 20k per year for 10

An R&D project for a new product has already required the expenditure of $200K. Spending another $100K for a license on another firm's patent will complete the project. Net returns from the product will be $20K per year for 10 years. If the firm's i is 10%, what is the PW for continuing? Should the firm continue?

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Business Economics: Net returns from the product will be 20k per year for 10

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Business Economics: Net returns from the product will be 20k per year for 10

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