Question
The following data has been provided by Blakely Company. The company is evaluating options for an investment project: initial investment-$500,000 Life of the project (in
The following data has been provided by Blakely Company. The company is evaluating options for an investment project:
initial investment-$500,000
Life of the project (in years)-5
Working capital required-$50,000
Annual net cash inflows-$130,000
Salvage value-$25,000
The discount rate for the company is 11%. Any working capital required will be released at the end of the project.
Required:
The net present value of the project will be _______.
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Intermediate Accounting 2014 FASB Update
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
15th edition
978-1118938782, 111893878X, 978-1118985311, 1118985311, 978-1118562185, 1118562186, 978-1118147290
