Question
You are considering the investment of $18,000 (today) in a lemonade stand. Also, you expect the stand to generate the following future cash flows: At
You are considering the investment of $18,000 (today) in a lemonade stand.
Also, you expect the stand to generate the following future cash flows:
At the end of year 1: $8,000
At the end of year 2: $4,000
At the end of year 3: $6,000
At the end of year 4: $2,000
What is the NPV (Net Present Value) of this project, if you require a 20% rate of return?
(Answer to the nearest $0.001)
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Personal Finance Version 3.1
Authors: Rachel S. Siegel
3rd Edition
1453334807, 978-1453334805
