A project needs an investment of S30k at time zero and $15k at the end of year
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A project needs an investment of S30k at time zero and $15k at the end of year 1. It is expected to generate a net income of $15k for year 1 to 8. At the end of gth year, it is expected to incur an environmental cost of $30k and a salvage value of S20k.
Please calculate NPV at a minimum DCFROR of 20%. Then evaluate the probability for the project to be economically satisfactory and the most likely NPV to be achieved.
Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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