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Question 21 (6 points) Horizon Inc. is analyzing the desirability of a capital expenditure that will allow them to produce and sell a new product.
Question 21 (6 points) Horizon Inc. is analyzing the desirability of a capital expenditure that will allow them to produce and sell a new product. They have a required return of 14.0%, and have estimated the project will have an initial investment and incremental after-tax annual cash flows as shown below: Year Cash Flow 0 - $365,000 1 60,000 93,500 3 176,000 4 250,000 What is the Net Present Value (NPV) for this project? [Enter your solution rounded to the nearest whole number.] Your Answer: 2
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