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12 22 ts retail operations. Based on a preiminary study, 10 stores are feasible in various parts of the country Th isexpected to be S160 per year for me yoan t tare requies an immediate investment of SA00 to set up operations Assuming a required rate of return 6%, what is the NPV of each store? Place your answer in dollars and cents, without any comma or dollar sign Work your analysis out using at least four decimal places of accuracy CHECK ANSWER
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Answer #1

For calculating NPV, we will use financial calculator with given data.

CF0 = -400, CF1 = 160 , F1= 5 ,CPT NPV I = 6

NPV = 273.98 for each store.

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