Question: This project requires a $40,000 initial investment and is expected to generate end-of-period annual cash inflows as follows: Year 1Year 2Year 3Total$ 16,000$ 10,000$ 14,000$

This project requires a $40,000 initial investment and is expected to generate end-of-period annual cash inflows as follows:

Year 1Year 2Year 3Total$ 16,000$ 10,000$ 14,000$ 40,000

Assuming a discount rate of 11%, what is the net present value (rounded to the nearest whole dollar) of this investment? Selected present value factors for a single sum are shown in the table below:

i = 11%i = 11%i = 11%n = 1n = 2n = 30.90090.81160.7312

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