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Kingbird Corporation, which operates an amusement park, is considering a capital investment in a new ride. The ride would cost $ 1 3 1 ,
Kingbird Corporation, which operates an amusement park, is considering a capital investment in a new ride. The ride would cost
$ and have an estimated useful life of years. The park will sell it for $ at that time. Amusement parks need to rotate
rides to keep people interested. The ride will be expected to increase net annual cash flows by $ The company's borrowing
rate is Its cost of capital is Calculate the net present value of this project to the company. If the net present value is negative, use either a negative sign preceding the
number eg or parentheses eg For calculation purposes, use decimal places as displayed in the factor table provided, eg
Round present value answer to O decimal places, eg
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