Suppose that a company is wordering whether to invest $20,000 in a project which would make extra profits of $10,000 in the first year, $8,000 in the second year and $6,000 in the third year. Its cost of capital is 10%?What is the net present value of the project?

Answer rating: 100% (QA)

The formula for present value is PV CF 1 rt where PV is the present value CF is t... View the full answer