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Harry just invested $185,280 in a 5-year private investigating (PI) company that will generate cash inflows of $39,700 and $82,470 during its first two years,
Harry just invested $185,280 in a 5-year private investigating (PI) company that will generate cash inflows of $39,700 and $82,470 during its first two years, respectively. According to Harry, the company will generate inflows of $63,250, $61,360, and $44,600, during its last three years, respectively. If Harry's cost of capital is 8.7%, the NPV of his PI company is:
(select one)
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$16,270.30
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$43,625.67
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$8,837.78
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$11,958.76
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$9,721.56
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