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A factory costs $430 comma 000430,000. You forecast it will produce cash inflows of $176 comma 000176,000 in year 1, $280 comma 000280,000 in year
A factory costs
$430 comma 000430,000.
You forecast it will produce cash inflows of
$176 comma 000176,000
in year 1,
$280 comma 000280,000
in year 2, and
$ 330 comma 000$330,000
in year 3. The cost of capital is
88%.
What is the net present value (NPV) of the factory?
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