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A four-year financial project is forecast to have net cash inflows of $10,000; $25,000; $60,000; and $50,000 in the next four years. It will cost
A four-year financial project is forecast to have net cash inflows of $10,000; $25,000; $60,000; and $50,000 in the next four years. It will cost $125,000 to implement the project payable at the beginning of the project. The discount rate is 11%. What is the NPV of this project? What is the BCR of this project? Based on the NPV and BCR, would you do this project? What is the NPV of the project if the cost is due in even installments in year 2 and year 3 ($62,500 due each year)
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