Question: Initial Outlay $2,500. Operating Cash Inflows $1,000 in year 1 through year 5. Given the above information and 15 percent cost of capital: (a) compute

Initial Outlay $2,500. Operating Cash Inflows $1,000 in year 1 through year 5. Given the above information and 15 percent cost of capital:


(a) compute the net present value?


(b) should the project be accepted?

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a The net present value NPV can be calculated as follows Year Ope... View full answer

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