Question: Humboldt Inc. is considering a project that has the following cash flow and WACC data. Calculate the project's Net Present Value? Note that is a project's projected NPV is negative, it should be should be rejected.
|
WACC
|
9.00%
|
|
|
|
|
|
|
Year:
|
0
|
1
|
2
|
3
|
4
|
5
|
|
Cash flows:
|
-$1,000
|
$300
|
$300
|
$300
|
$300
|
$300
|