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Business, 02.08.2019 21:20 kevonmajor

Cash flows. quick computing currently sells 10 million computer chips each year at a price of $20 per chip. it is about to introduce a new chip, and it forecasts annual sales of 12 million of these improved chips at a price of $25 each. however, demand for the old chip will decrease, and sales of the old chip are expected to fall to 3 million per year. the old chips cost $6 each to manufacture, and the new ones will cost $8 each. what is the proper cash flow to use to evaluate the present value of the introduction of the new chip? (lo9-1)

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