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A firm will spend $100,000 immediately to implement a 3-year capital project. The project is expected to provide operating cash flows of $100,000 at the
A firm will spend $100,000 immediately to implement a 3-year capital project. The project is expected to provide operating cash flows of $100,000 at the end of Year 1, $225,000 at the end of Year 2, and $440,000 at the end of Year 3. In addition, the project will provide an additional non-operating cash inflow of $35,000 at the end of Year 3. Given a discount rate of 11 percent, what is the NPV of the project?
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