Mary invested $ 4 0 , 0 0 0 in a business project. This business pays her

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Question:

Mary invested $

40, 000

in a business project. This business pays her $

12, 000

at the end of

each year for the next

5

years at which point she sells her business for $

20, 000 .

Prevailing

interest rate are currently

5 % .

3.1

What is the net present value of the project

3.2

Is it worth investing in

?

Posted Date: May 18, 2024 11:06 PM

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Mary invested $ 4 0 , 0 0 0 in a business project. This business pays her

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