A project costs $662,000 today to get started and will produce after-tax cash flows of -$200,000, $0, $110,000 in years 1,2,3. After year 3 the cash flows will increase by 3% per year forever. What is the NPV of the project if the discount rate is 10%?

Answer rating: 100% (QA)

To calculate the NPV of the project we need to discount the aftertax cash flows to their present val... View the full answer