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Question(s) / Instruction(s):

Arthur operates a part-time auto repair service. He estimates that a new diagnostic computer system will result in increased cash inflows of $2,100 in Year 1, $3,200 in Year 2, and $4,000 in Year 3. If Arthur\'s discount rate is 10%, then the most he would be willing to pay for the new computer system would be:

A.            $6,984

B.            $6,652

C.            $7,556

D.            $7,747

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