Question: Net Present Value. Your organization must decide on whether to accept a project that has been requested by the research and development department. The initial
Net Present Value. Your organization must decide on whether to accept a project that has been requested by the research and development department. The initial investment is $350,000. The team has projected that the cash inflows from the project will be $65,000 in the first three years and $85,000 in next three, with a discount rate of 7%.
Should the organization authorize the project to go ahead?
Why or why not?
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