Single corporation just made a three-year investment in a project. The initial investment was $15,060, with annual cash inflows of $7,000 in the first year, $8,000 in the second year, and $9,000 in the third year. The corporation anticipates a 15% necessary return; What is the project's net present value?

Single corporation just made a three-year investment in a project. The initial investment was $15,060, with annual cash inflows of $7,000 in the first year, $8,000 in the second year, and $9,000 in the third year. The corporation anticipates a 15% necessary return; What is the project's net present value?

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter12: Capital Investment Analysis

Section: Chapter Questions

Problem 4BE: Internal rate of return A project is estimated to cost 463,565 and provide annual net cash flows of...

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