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Vodacall Ltd. is considering an upgrade to the National Broadband Network, which is expected to cost $10,000,000 now and $6,000,000 next year. The upgrade is

Vodacall Ltd. is considering an upgrade to the National Broadband Network, which is expected to cost $10,000,000 now and $6,000,000 next year. The upgrade is forecasted to result in annual revenue, starting two years from now at $6,500,000. There will be no increase in costs. There are four years of revenue, diminishing by 10% each year from the initial revenue of $6,500,000. Assume companys cost of capital is 10%. Calculate the Net Present Value (NPV) of the project.

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