In: Finance
What is the net present value of this investment?
INITIAL COST $500,000
PROJECT LIFE 15 years
SALVAGE VALUE $ 20,000
ANNUAL NET CASH FLOWS $120,000
DISCOUNT RATE 15 %
a. $ 203,684
b. $ 204,142
c. $ 205,669
d. $ 206,263
e. $ 208,721