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#31 Its time to build a new call center. It looks like the center will cost $10.5 million to build and generate cash flows of

#31 Its time to build a new call center. It looks like the center will cost $10.5 million to build and generate cash flows of $2 million the first year, $3 million per year for the next two years, $4 million per year for the following two years, and $2 million in its final year of operation. If your required return is 12%, should you build the new center?

  • A. Yes

  • B. No

  • C. Not enough information to answer

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