Roxx Limited is considering a project that has an 8-year life and that will require an...
Roxx Limited is considering a project that has an 8-year life and that will require an initial capital outlay of $534228. The project will result in immediate changes to the following working capital items:
|
Increase in accounts receivable |
$16349 |
|
Increase in accounts payable |
$8788 |
All working capital items will be returned at the end of the project.
The expected annual net operating cash inflow for this project is $95296.
Assuming a weighted average cost of capital of 5%, what is the net present value of this project?
Select one:
a. $98704
b. $79247
c. $56553
d. $73567
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