Question: q20 Computing net present value. Magatech, a computer software developer, is considering a software development project that requires an initial investment of $200,000 and sub-sequent
q20 Computing net present value.Magatech, a computer software developer, is considering a software development project that requires an initial investment of $200,000 and sub-sequent investment of $150,000 and $100,000 at the end of the first and second years. Megatech expects this project to yield annual after-tax inflows for 6 more years: $90,000at the end of each year for the third through 8 years.Megatech's after-tax cost of capitalis 10%.Calculate the NPV of this project.
Please answer and explain withexcel. Please explain how I allow for the after-tax cost of capital of 10% within excel.
Thank you in advance,
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