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Warnock Inc. is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that a project's projected
Warnock Inc. is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that a project's projected NPV can be negative, in which case it will be rejected.
Answer | WACC: | 10.00% | |||
| Year | 0 | 1 | 2 | 3 |
| Cash flows | -$825 | $500 | $400 | $300 |
| a. | $185.52 | |
| b. | $194.79 | |
| c. | $153.98 | |
| d. | $181.81 | |
| e. | $155.84 Include formula |
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Short Term Financial Management
Authors: Ned C. Hill, William L. Sartoris
3rd Edition
0023548320, 978-0023548321
