ABC Company in considering a loss control investment. The project will cost $100,000. It will generate an after-tax net cash flow of $60,000 one year after investment and an after-tax net cash flow of $60,000 two years after investment
The present value of $1 received one year from today assuming a 6 percent rate is .9434. The present value of $1 received two years from today assuming a 6 percent interest rate is .8900. Assuming a discount rate of 6 percent, what is the net present value (NPV) of this project?
A) $10,004
B) $13,195
C) $16,604
D) $20,000
Answer: A
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The purpose of the interest section of a persuasive message is to
A) capture attention. B) prompt the audience to imagine how the solution might benefit them. C) increase the audience's desire to take the action recommended in the message. D) get the reader to act immediately. E) make acting on the requested action easy.
In an efficient market, the expected return and the required return are equal
Indicate whether the statement is true or false