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Fun Land is considering adding a miniature golf course to its facility. The course would cost $ 7 5 0 0 0 , would be
Fun Land is considering adding a miniature golf course to its facility. The course would cost $ would be depreciated on a straight line basis over its year life, and would have a zero salvage value. The estimated income from the golfing fees would be $ a year with $ of that amount being variable cost. The fixed cost would be $ In addition, the firm anticipates an additional $ in revenue from its existing facilities if the course is added. The project will require $ of net working capital, which is recoverable at the end of the project. What is the net present value of this project at a discount rate of percent and a tax rate of percent?
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