Ewing Industries is evaluating a proposed capital budgeting project that will require

10a 1 w student Dashboard xTX FINA 5320 rade Cax-G on tak uid-QNAPCOA801010000003a2767fop60000&ck m 1507001817992 15E1FA457BS0CE80000 Graded Assignment Read Chapter 10 1 Back to Assignment Due Wednesday 10.04.17 at 11-45 PM Attempts: 3. Net present value method Consider the case of Ewing Industries: Do No Harm: 2 Ewing Industries is evaluating a proposed capital budgeting project that will require an intial investment of $128,000. The project is expected to generate the following net cash flows: Year 1 Year 2 Year 3 Year 4 Year Cash Flow $38,800 $50,700 $45,600 $42,900 Assume the desired rate of retum on a project of this type is 9%, what is the net present value of this project? O $10,285.40 Q-,41s, 10 O $4,725.40 $15,872.52 Suppose Ewing Industries has enough capital to fund the project, and the project is not competing for funding with other projects. Should Ewing Industries accept or reject this project? O Accept the project O Reject the project Continue without saving