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NPV calculation​) Calculate the NPV given the following cash​ flows, shown below ​, if the appropriate...

NPV calculation​) Calculate the NPV given the following cash​ flows, shown below ​, if the appropriate required rate of return is 14 percent. Should the project be​ accepted? What is the​ project's NPV​?

YEAR CASH FLOWS
0 -60000
1 25000
2 25000
3 25000
4 -25000
5 25000
6 25000
0 0
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Answer #1

Answer - The Net Present Value of project is $7612.67. As the project is giving a positive Net Present Value, the project should be accepted.

Reason -

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