Question: Samira Services Corporation is considering a project with an Operating Cash Inflow of $24,500 for the first year with that amount growing 4% each year
Samira Services Corporation is considering a project with an Operating Cash Inflow of $24,500 for the first year with that amount growing 4% each year for the following four years, a timepoint zero cash outflow for Capital Investments of $90,000 with a year five Net Salvage Value of $18,000, and a Net Working Capital Investment of 11% of the following time period's OF. With an opportunity cost of capital is 11%, the project has a Net Present Value of $16,796.40
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