an entrepreneur is considering a project that is expected that is to generate $12000 per year in perpetuity. starting one year after the initial investments of $72000. The relevant cost of capital is 12%. The entrepreneur will issue a total of 10,000 shares and sell some of the outside investors and retain the rest. No debt. The entrepreneur's goal is to maximize her expected profits. She does not wish to cash out but instead wants to retain as many issues shares as possible. The outside investors will buy the shares as long as they are able to obtain the 12% required rate of return.

Compute the projects NPV and verify that its positive

If the entrepreneur invests $36000 of her own funds what is the minimum number of shares that she has to sell to the outside investors for this project to be undertaken?