Question
In this problem please find the net present value (NPV) of a capital investment project which has an up front cash outflow (-CF0) of $29,750
In this problem please find the net present value (NPV) of a capital investment project which has an up front cash outflow (-CF0) of $29,750 and then followed by the following cash inflows presented in the table below? Assume the risk-adjusted required return (r) is 16.75 percent.
| year | cash inflows |
| 1 | $12 500 |
| 2 | 19 700 |
| 3 | 0 |
| 4 | 10 400 |
NPV =
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Entrepreneurial Finance
Authors: J. Chris Leach, Ronald W. Melicher
2nd Edition
0324289235, 9780324289237
