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Year Cashflows ($) 0 -1,500,000 1 400,000 2 550,000 3 650,000 4 700,000 Use the Weighted Average Cost of Capital (WACC) to calculate the NPV
Year | Cashflows ($) |
0 | -1,500,000 |
1 | 400,000 |
2 | 550,000 |
3 | 650,000 |
4 | 700,000 |
Use the Weighted Average Cost of Capital (WACC) to calculate the NPV of this project (Show full workings). Advise if the project should be taken under the current WACC.
WACC = 0.09
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