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3) An investment project requires 1 200 000 TL initial cost. The economic life of the project is 5 years and at the end of

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3) An investment project requires 1 200 000 TL initial cost. The economic life of the project is 5 years and at the end of the 5th year, there is a salvage value of 350 000 TL. The expected future cash flows are estimated as follows: 1. year: 350 000 TL, 2 year: 500 000 TL, 3. year: 700 000 TL, 4. year: 850 000 TL, 5 year: 300 000 TL Find the NPV (net present value) of the project. Is this a feasible project if there is a risk premium of %8. The benchmark government bond is trading at %18. a

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