OmegaTech is considering project A The project would require an initial investment of $58,900 00, and then have an expected cash flow of $78,500 00 in 4 years Project A has an internal rate of return of 9 65 percent The weighted average cost of capital for OmegaTech is 6 02 percent Which one of the following assertions is true The NPV that OmegaTech would compute for project A is less than or equal to $10 27 The NPV that OmegaTech would compute for project A can not be computed from the information provided The NPV that OmegaTech would compute for project A is greater than $10 27 but less than $10 27 None of the other alternatives are correct The NPV that OmegaTech would compute for project A is equal to greater than $10 27

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Question: OmegaTech is considering project A. The project would require an initial investment of $58,900.00, and then have an expected cash flow of $78,500.00 in 4

OmegaTech is considering project A. The project would require an initial investment of $58,900.00, and then have an expected cash flow of $78,500.00 in 4 years. Project A has an internal rate of return of 9.65 percent. The weighted-average cost of capital for OmegaTech is 6.02 percent. Which one of the following assertions is true?

		The NPV that OmegaTech would compute for project A is less than or equal to -$10.27.
		The NPV that OmegaTech would compute for project A can not be computed from the information provided
		The NPV that OmegaTech would compute for project A is greater than -$10.27 but less than $10.27.
		None of the other alternatives are correct
		The NPV that OmegaTech would compute for project A is equal to greater than $10.27.

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