Pine Village needs some additional recreation

Chapter , Problem 2-54

(choose chapter or problem)

Pine Village needs some additional recreation fields.Construction will cost $225,000, and annual O&Mexpenses are $85,000. The city council estimates thatthe value of added youth leagues is about $190,000annually. In year 6 another $75,000 will be neededto refurbish the fields. The salvage value is estimatedto be $100,000 after 10 years. Draw the cash flowdiagram.

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