Central Concrete is evaluating a project that would cost 1,302.00 today. The project is expected to have the following other cash flows: 10,070.00 in 1 year, 9,877.00 in 2 years, -9,662.00 in 3 years, and -10,323.00 in 4 years. The cost of capital of the project is 10.02 percent. What is the net present value of the project? $1,213.51 (plus or minus $3) The amount can not be determined or does not exist because the cash flows are not conventional $1,709.86 (plus or minus $3) $1,534.43 (plus or minus $3) -$6,865.14 (plus or minus $3)

Central Concrete is evaluating a project that would cost 1,302.00 today. The project is expected to have the following other cash flows: 10,070.00 in 1 year, 9,877.00 in 2 years, -9,662.00 in 3 years, and -10,323.00 in 4 years. The cost of capital of the project is 10.02 percent. What is the net present value of the project? $1,213.51 (plus or minus $3) The amount can not be determined or does not exist because the cash flows are not conventional $1,709.86 (plus or minus $3) $1,534.43 (plus or minus $3) -$6,865.14 (plus or minus $3)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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