Question
An entrepreneur is offered a business opportunity that will cost him $600,000 initially. The contract has a 5 year life and will generate an after
An entrepreneur is offered a business opportunity that will cost him $600,000 initially. The contract has a 5 year life and will generate an after tax cash inflow of $160,000 per year. The cost of capital of this project is 14%. Whats the NPV of the project? Should the entrepreneur accept the offer?
| $50,707; reject | ||
| -$50,707; accept | ||
| $50,707; accept | ||
| -$50,707; reject |
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Finance For IT Decision Makers
Authors: Michael Blackstaff
1st Edition
3540762329, 978-3540762324
