Question: $360 13. Last month, Standard Systems analyzed the project whose cash flows are shown below. However, before the decision to accept or reject the project

 $360 13. Last month, Standard Systems analyzed the project whose cash

$360 13. Last month, Standard Systems analyzed the project whose cash flows are shown below. However, before the decision to accept or reject the project took place, the Federal Reserve changed interest rates and therefore the firm's WACC. The Fed's action did not affect the forecasted cash flows. By how much did the change in the WACC affect the project's forecasted NPV? (7) Old WACC: 10.00% Year 0 Cash flows -$1,000 New WACC: 11.25% 1 $410 $410 $410

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