Question
Suppose the following project which costs $1.5 million has the following estimated cash flows over the next five years and the required return for this
Suppose the following project which costs $1.5 million has the following estimated cash flows over the next five years and the required return for this project is 7%.
| Year | Cash Flow | Present Value at 7% |
| 1 | 400,000 | |
| 2 | 720,000 | |
| 3 | 860,000 | |
| 4 | 440,000 | |
| 5 | (410,000) |
What is the NPV of this project?
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Personal Finance
Authors: E. Thomas Garman, Raymond E. Forgue, Jonathan Fox
14th Edition
0357901495, 9780357901496
