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Problem 7 (6 points) Use the following table for this question. Present Value of an Annuity Periods 8% 9% 10% 1 0.926 0.917 0.909
Problem 7 (6 points) Use the following table for this question. Present Value of an Annuity Periods 8% 9% 10% 1 0.926 0.917 0.909 2 1.783 1.759 1.736 3 2.577 2.531 2.487 A company has a minimum required rate of return of 10% and is considering investing in a project that costs $200,000 and is expected to generate cash inflows of $85,000 at the end of each year for three years. Calculate the net present value of this project. Please show your work.
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