A company is interested on starting a project that will cost $90,000. They expect to receive $25,000 from it every year for the next 5 years.

 If the company’s cost of capital is 9%, what is the project’s NPV? 

Should the project be accepted? Explain why or why not.

( Show your work. Principles of Financial Management )

Answer rating: 100% (QA)

To calculate the Net Present Value NPV of the project we need to discount the expected cash flows us... View the full answer