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Should a company start a multi-year investment project? Here's what's known: The return required for this project is 7.9% per year. $332,000 would need to
Should a company start a multi-year investment project? Here's what's known: The return required for this project is 7.9% per year. $332,000 would need to be invested right away to buy all necessary production equipment. This project is expected to end at the end of Year 5 , and at that time all production equipment will be sold and generate a cash inflow of $104,000 in after-tax salvage value. To meet any unforeseen equipment maintenance and repair expenses, $46,000 of cash would be set aside at the start of the project. The cash balance will then be recovered at the end of the project's life. $76,000 in after-tax profits (i.e., operating cash flow) is estimated for each future year of the project. The project's Net Present Value equals \$ - Increase decimal places for any intermediate calculations, from the default 2 to 6 or higher. Only round your final answer to TWO decimal places: for example, 10,000.23. - Do NOT use "\$" in your answer. - If your answer is negative, don't forget the MINUS sign
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