Question: Tomato Inc. has a Ketchup project that has a initial investment of $ 1,000,000, The estimated life of the project is 5 years. The market

Tomato Inc. has a Ketchup project that has a initial investment of $ 1,000,000, The estimated life of the project is 5 years. The market rate of return is 5%.

Year Annual Profits

1 150,000

2 270,000

3 330,000

4 310,000

5 290,000

What is the present value of the 5 cash inflows of this project?

Options: -$900,000 $900,000 -$1,100,000 $1,100,000

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