Question
The Horizon Company will invest $60,000 in a temporary project that will generate the following cash inflows for the next three years.Cost of capital is
The Horizon Company will invest $60,000 in a temporary project that will generate the following cash inflows for the next three years.Cost of capital is 12%.Calculate NPV of the project.
YearCash Flow
1 .....................$30,000
2 .....................30,000
3 .....................30,000
A.$14,520
B.$12,055
C.$(12,055)
D.$(14,520)
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International Financial Management
Authors: Geert Bekaert, Robert J. Hodrick
2nd edition
013299755X, 132162768, 9780132997553, 978-0132162760
