Question: 1. Compute the NPV statistic for Project Y given the following cash flows and if the appropriate cost of capital is 12 percent. Project Y
1. Compute the NPV statistic for Project Y given the following cash flows and if the appropriate cost of capital is 12 percent.
Project Y
| Time | 0 |
| 1 |
| 2 |
| 3 |
| 4 |
| 5 | ||||||||||||
| Cash Flow | $ | 10,000 |
|
| $ | 3,000 |
|
| $ | 4,000 |
|
| $ | 1,000 |
|
| $ | 2,000 |
|
| $ | 500 |
|
A. 18,133.88
B. -1,366.99
C. -1,539.14
D. -1,866.12
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