Harte Systems, Inc., a maker of electronic surveillance equi

Assignment Help Finance Harte Systems, Inc., a maker of electronic surveillance equi

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Harte Systems, Inc., a maker of electronic surveillance equi

Harte Systems, Inc., a maker of electronic surveillance equipment, is consi… Show more Value of a mixed stream: Harte Systems, Inc., a maker of electronic surveillance equipment, is considering selling to a well-known hardware chain the rights to market its home security system. The proposed deal calls for the hardware chain to pay Harte $30,000 and $25,000 at the end of years 1 and 2 to make annual year-end payments of $15,000 in years 3 through 9. A final payment to Harte of $10,000 would be due at the end of year 10. a. Lay out the cash flows involved in the offer on a time line. b. If Harte applies a required rate of return of 12% to them, what is the present value of this series of payments? c. A second company has offered Harte an immediate one-time payment of $100,000 for the rights to market the home security system. Which offer should harte accept? **Please show work*** • Show less

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