Question
Assume the following: Year Zero: Capital Investment = $6M and Increase in NWC = $.5M; Years 1-4: OCF = $4M; Year 4: Recovery of Earlier
Assume the following: Year Zero: Capital Investment = $6M and Increase in NWC = $.5M; Years 1-4: OCF = $4M; Year 4: Recovery of Earlier Increase in NWC and Cash Flow from Salvage = $2.5M. What are the incremental cash flows for this project for years zero through 4?
A. 6.5M;6.5M;4M; 4M;4M;4M; $6.5
B. 6.5M;6.5M;4M; 4M;4M;4M; $7M
C. 6M;6M;6M; 4M;4M;4M: $6M
D. 6M;6M;4M; 4M;4M;7M; $4M
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Fundamentals Of Healthcare Finance
Authors: Paula H. Song, Kristin L. Reiter
4th Edition
1640553223, 978-1640553224
