Question: A company is considering a new project requiring an initial investment of $ 8 0 0 , 0 0 0 . The projected annual revenue

 

A company is considering a new project requiring an initial investment of $800,000. The projected annual revenue from the project is $200,000.

Calculate the project's net present value (NPV), assuming a discount rate of 10% over five years. Discuss whether the investment is financially viable.

 

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