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3. Bloomfield Tires has assigned a discount rate of 14.4 percent to a new project. The project has an initial cost of $229,000 and is

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3. Bloomfield Tires has assigned a discount rate of 14.4 percent to a new project. The project has an initial cost of $229,000 and is forecast to generate cash flows of $74,300, $128,700, and $89,500 in Years 1-3, respectively. What is the Net Present Value of this project? a. $5,127 b. $1,308 C. $8,334 d. -$5,935 e. $4,899 4. You are analyzing a project and have gathered the following data: Year 0 1 Cash Flow -$190,000 $ 63,400 $ 61,800 $ 72,000 $ 75,000 2 3 4 The Required Rate of Return = 14.5% Based on the Net Present Value of project you should the a. -$283.60; accept b. $3,283.60; accept C. -$1,995; reject d. -$2,030.75, reject e. $4,109.37; accept

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