Net Present Value Assignment | Homework For You
December 13th, 2019
Imagine you are considering acquiring a company. You have received their financial statements, and have learned that they have annual cash flows of:Year 1: $10 MillionYear 2: $8 MillionYear 3: $14 MillionYear 4: $17Million
Additionally, assume that in year 4 you will have a terminal cash flow of $250 Million, should you decide to sell the company at that time. If your discount rate is 15%,a. What is the NPV of the project? Get Economics homework help today