Question
The King Company is considering a project that will cost $12,000 and has estimated that it will generate the following cash inflows: Year 1 $6,000
The King Company is considering a project that will cost $12,000 and has estimated that it will generate the following cash inflows:
Year 1 $6,000
Year 2 3,000
Year 3 3,000
Year 4 4,000
Assuming an interest rate of 4%, what is the net present value of this project? Use time value of money factors with at least four decimal places and then round your final answer to the nearest whole dollar.
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Bank Performance, Risk And Firm Financing
Authors: P. Molyneux
1st Edition
0230313353, 9780230313354
