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Makna Berhad Makna is rolling out a project that costs RM1 million that will be going on for 6 years. The expected cash flows of
Makna Berhad
Makna is rolling out a project that costs RM1 million that will be going on for 6 years. The expected cash flows of the project is as follows:
Year | Operating Cash Flow |
1 | 200,000.00 |
2 | 300,000.00 |
3 | 400,000.00 |
4 | 300,000.00 |
5 | 300,000.00 |
6 | 150,000.00 |
The project's cost of capital is 5.73%.
Is the project viable for the company? Explain using Capital Budgeting Techniques' assessment.
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