Question: For the project outlined in the Table determine the Net Present Value of the project. The cost of Capital is 8%. Year Capital Expenditure
For the project outlined in the Table determine the Net Present Value of the project. The cost of Capital is 8%. Year Capital Expenditure $ 000's 1 2 3 4 5 6 7 8 9 10 11 25,000 Operating Expenditure $ 000's 1,000 1,100 1,100 1,200 1,400 1,400 1,500 1,500 1,500 1,800 1,800 Revenue $ 000's 5,500 8,400 10,400 11,600 12,600 12,600 10,600 9,600 8,600 8,600 5,800
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To calculate the Net Present Value NPV of the project we need to discount each cash flow to its pres... View full answer
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