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You are considering buying a new truck for your small business. The cash outlay (i.e., cost) of the truck is $34,200. Your firm's cost of
You are considering buying a new truck for your small business. The cash outlay (i.e., cost) of the truck is $34,200. Your firm's cost of capital is 11%. If you buy the truck, after-tax cash flows, including depreciation, would be as follows: Year 3 4 5 Cash flows $10,500 0 $16,000 $16,000 $16,000 Calculate the NPV of the project
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