Question
You work for an aerospace company that is considering the following investmentTotal cost (day 0): $3,250,000Total cost (year 1): $850,000Annual cash flow for year 2:
You work for an aerospace company that is considering the following investmentTotal cost (day 0): $3,250,000Total cost (year 1): $850,000Annual cash flow for year 2: $0Annual cash flows for years 3 to 6: $892,000Annual cash flows for years 7 to 10: $1,250,000What is the NPV of this project using a 12% discount rate?
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Small Business Management Launching and Growing New Ventures
Authors: Justin Longenecker, Leo Donlevy, Terri Champion, William Petty, Leslie Palich, Frank Hoy
6th Canadian edition
176532218, 978-0176532215
