Question

Elink of an Eye Company is evalung a5 year project that will provide cath tows of $34500, $55.950 162.250, $59 930 and 42.910
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Project cash flows:

Initial cost = 149920

CF1 = 34500

CF2 = 55950

CF3 = 62210

CF4 = 59930

CF5 = 42910

Required rate (r) = 8%

NPV = Sum of present value of cash inflows - Initial cost

= 34500/(1+8%)^1 + 55950/(1+8%)^2 + 62210/(1+8%)^3 + 59930/(1+8%)^4 + 42910/(1+8%)^5 - 149920

= $52,631.02

Correct Choice D

Add a comment
Know the answer?
Add Answer to:
Elink of an Eye Company is evalung a5 year project that will provide cath tows of...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT