Question: The cash flows for Project Z, which requires an initial investment of EUR 70,000, are given below. If the cost of capital for the project

The cash flows for Project Z, which requires an initial investment of EUR 70,000, are given below. If the cost of capital for the project is 7%, would you accept the project based on the Net Present Value (NPV) method? Show your calculations.

Year	Cash Flows (Project Z)
(Initial Investment)	(70,000)
1	20,000
2	25,000
3	15,000
4	10,000

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