How Would the Salvage Value Be Treated in a Net

question 84

Multiple Choice

How would the salvage value be treated in a net present value calculation?

• A) Disregard the salvage
• B) As a positive cash flow in the final year that the asset is used
• C) As a negative cash flow in the final year that the asset is used
• D) As a negative cash flow in the first year that the asset is used

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