Thunder corporation, an amusement park, is considering a capital investment in a new exhibit. the exhibit would cost $196,499 and have an estimated useful life of 10 years. it will be sold for $61,700 at that time. (amusement parks need to rotate exhibits to keep people interested.) it is expected to increase net annual cash flows by $27,400. the company’s borrowing rate is 8%. its cost of capital is 10%. click here to view pv table. calculate the net present value of this project to the company and determine whether the project is acceptable

Secured loans are protected by collateral security. examples: title loans where the borrower uses the car title as collateral security interest rates are lower and repayments are longer therefore risk is low as a collateral security is given as guarantee to the bank in case of failure to pay the loanunsecured loans are not protected by collateral security but it is given on the creditworthiness of the borrower, trusting that she/he will pay on time. examples; payday loans is a short term loan where the borrower lends money from the bank and pays is back when the borrower receives his/her wages.interest rates are high and repayments are shorter. but the risk is high as no collateral security is given as a guarantee to the bank for payment of the loan

Areceive reimbursement for your college visit costs b schedule a tour of the college campus c attend a college class to see what it’s like d both b & c e all of the above