Watson inc is an all-equity firm the cost of the companys


Watson, Inc., is an all-equity firm. The cost of the company's equity is currently 11 percent, and the risk-free rate is 4.7 percent. The company is currently considering a project that will cost $11.76 million and last six years.

The project will generate revenues minus expenses each year in the amount of $3.32 million.

If the company has a tax rate of 34 percent, what is the net present value of the project?

(Enter your answer in dollars, not millions of dollars, e.g., 1, 234, 567. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Net present value $

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Financial Management: Watson inc is an all-equity firm the cost of the companys
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