FM corporation’s new project will generate the operating cashflow by $56,200 per year for next five...

FM corporation’s new project will generate the operating cashflow by $56,200 per year for next five years. The equipment needs $238,900 of initial investment. After the investment period, the salvage value of equipment will be $67,000 after paying taxes. Assuming the required return is 15.2%, what is the NPV of this project?

		$14,731.78
		-$21,322.64
		-$18,374.86
		-$14,731.78
		$17,534.09

Expert Solution

jeff jeffy answered 2 years ago

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