Question: Compute the NPV statistic for Project U if the appropriate cost of capital is 11 percent. (Negative amount should be indicated by a minus sign.

Compute the NPV statistic for Project U if the appropriate cost of capital is 11 percent. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your final answer to 2 decimal places.)

Project U

Time: 0 1 2 3 4 5

Cash flow: $1,400 $510 $1,880 $600 $460 $180

NPV = $ _____________

Should the project be accepted or rejected?

Rejected

Accepted

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