Question: QUESTION 8 A firm is considering a three-year project with an initial investment requirement | = CFO = $8,000 and the following three cash inflows:

 QUESTION 8 A firm is considering a three-year project with an

QUESTION 8 A firm is considering a three-year project with an initial investment requirement | = CFO = $8,000 and the following three cash inflows: CF1 = $3,180.000 CF2 = $3,370.800 CF3 = $3,573.048 This project will be replicable forever! (Note: This means that the project will be restarted at the end of year 3, year 6, year 9, etc. forever.) The risk-adjusted discount rate for this project is k = 6 percent. Calculate the Net Present Value of this project, denoted NPV (3, 0). $1,000.00 $17,666.67 $16,666.67 $6,235.16

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