Question
In the video, Trim Corp. is considering a project that is expected to have cash inflows of $350, $250, and $150 in years 1, 2,
In the video, Trim Corp. is considering a project that is expected to have cash inflows of $350, $250, and $150 in years 1, 2, and 3, respectively. What do you think would happen to the NPV of the project if the company expected the same cash flows, but in reverse order? In other words, what do you think would happen to the NPV of the $150 were the cash inflow in year 1, $250 were the cash inflow for year 2, and $350 were the cash inflow for year 3? Using the same discount rate as in the video, 25%, calculate the NPV for the project with this string of cash outflows.
https://www.youtube.com/watch?v=FaLzZ-6Zf0I
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