Question
Your company is considering a $500,000 upgrade to a pipeline. You have estimated the upgrade will result in the following cash flows. Assume the company
Your company is considering a $500,000 upgrade to a pipeline. You have estimated the upgrade will result in the following cash flows. Assume the company uses a 10% discount rate. Calculate NPV for the project.
Year | Cash Inflows | Cash Outflows |
Year 0 | -$500,000 | |
Year 1 | $300,000 | -$20,000 |
Year 2 | $250,000 | -$20,000 |
Year 3 | $150,000 | -$20,000 |
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Understanding Basic Statistics
Authors: Charles Henry Brase, Corrinne Pellillo Brase
6th Edition
978-1133525097, 1133525091, 1111827028, 978-1133110316, 1133110312, 978-1111827021
