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it is not 433,900. must be done in Excel, please show your work. Question 3 0/20 pts A very successful heath and recreation club wants
it is not 433,900. must be done in Excel, please show your work.
Question 3 0/20 pts A very successful heath and recreation club wants to construct a mock mountain for climbing and exercise outside for its customers' use. Because of its location, there is a 30% chance of the 120-day season of good outdoor weather, a 50% chance of a 150-day season, and a 20% chance of a 165-day season. The mountain will be used by an estimated 350 persons each day of the 4-month (120-day) season, but by only 100 per day of each extra day the season lasts. The feature will cost $375,000 to construct and require a $25,000 rework every 4 years and the annual maintenance and insurance costs will be $56,000. The climbing fee will be $5 per person. If a life of 10 years is anticipated and a 10% return is expected determine the NPV of the project. $616,260 $215,300 $433,900 $357.210Step by Step Solution
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