Question

Chronic Pain Clinic has estimated the following cash flows associated with a new project. The project...

Chronic Pain Clinic has estimated the following cash flows associated with a new project. The project cost of capital is 10 percent.

Year Expected Net Cash Flow

0.............. ($800,000)

1.............. 400,000

2............... 400,000

3................. 400,000

What it the project’s NPV?

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