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Assume that the discount rate of Project B is 7 % . Given the following projected cashflow. What is the NPV of the project? Time

Assume that the discount rate of Project B is 7%. Given the following projected cashflow.
What is the NPV of the project?
Time Cashflow
Year 0-6,000
Year 11,000
Year 2810
Year 3710
Year 42,000
Year 53,000
Assume that the discount rate of Project B is 7%. Given the following projected cashflow.
What is the NPV of the project?
Time Cashflow
Year 0-6,000
Year 11,000
Year 2810
Year 3710
Year 42,000
Year 53,000
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Question at position 27
27
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Question at position 27
A firm is considering an investment opportunity. The firms cost of capital for this project is 14%. The project will require an initial investment of $7 million and it will generate cash flows $910,000 in the first year and $2,000,000 in the second year. After that, the cash flow will grow at 3% annually forever.
What is the NPV of this project?

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