Question
Answer in whole number 1 . and 2 . A company can invest in a project that will raise its revenues by $7,000 per year
Answer in whole number and
A company can invest in a project that will raise its revenues by $7,000 per year after taxes. The project costs $30,000 up front and has an anticipated life of 6 years. QI. If the company can earn 12% after taxes on capital invested in other projects, what is the NPV Of this project? Your answer should be a whole number. use the annuity factor. Q2. What does the NPV you calculated tell you about whether this project is a good investment? You must show your calculations for full credit.
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