Question
(NPV calculation) Calculate the NPV given the following cash flows, YEAR CASH FLOWS 0 $70,000 1 15,000 2 15,000 3 30,000 4 30,000 5 20,000
(NPV calculation) Calculate the NPV given the following cash flows,
| YEAR | CASH FLOWS |
| |
| 0 | $70,000 | ||
| 1 | 15,000 | ||
| 2 | 15,000 | ||
| 3 | 30,000 | ||
| 4 | 30,000 | ||
| 5 | 20,000 | ||
| 6 | 20,000 | ||
if the appropriate required rate of return is 11 percent.
What is the project's NPV?
Should the project be accepted?
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
