question #16

Jamaica Corp, is adding a new assembly line at cost of $8.0 million. The firm expects the project to generate cash flows of $2 million, $3 million, $4 million and $5 million over the next 4 year its cost of capital is What is the project Modified internal Fate of and should the company add the new assembly line? 20, 38% Yes 22, 66% Yes 21, 06% Yes 21, 06% No