Question
The firm is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that if a project's
The firm is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that if a project's expected NPV is negative, it should be rejected.
| WACC: | 9.00% | |||
| Year | 0 | 1 | 2 | 3 |
| Cash flows | $1,000 | $500 | $500 | $500 |
| $265.65 | |
| $266.65 | |
| $267.65 | |
| $268.65 |
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International Financial Reporting A Practical Guide
Authors: Alan Melville
6th edition
1292200743, 1292200766, 9781292200767, 978-1292200743
