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26 July, 06:05

What is the net present value of a project with the following cash flows if the required rate of return is 9 percent?

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Answers (1)
  1. 26 July, 09:57
    0
    Year Cash Flow

    0 - $46,400

    1 18,000

    2 33,530

    3 4,600

    NPV = - $46,400 + $18,000 / (1 + 0.09) + $33,530 / (1 + 0.09) 2 + $4,600 / (1 + 0.09) 3 =

    -$1,574.41
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