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The following data pertain to an investment proposal: Investment in the Project (equipment) $14,000 Net Annual Cash Inflows Promised $2,800 Working Capital Required $5,000 Salvage
The following data pertain to an investment proposal: Investment in the Project (equipment) $14,000 Net Annual Cash Inflows Promised $2,800 Working Capital Required $5,000 Salvage Value of the Equipment $1,000 Life of the Project 10 years
The working capital would be released for use elsewhere when the project is completed. What is the net present value of the project, using a discount rate of 8%? (Ignore income taxes in this problem.) (Do not round your intermediate calculations and round the final answer to the nearest whole dollar.)
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