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Edmondson Electric Systems NPV

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Edmondson Electric Systems is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that if a project's projected NPV is negative, it should be rejected.

WACC: 10%
Year: 0 1 2 3
Cash Flow -$1,000 $500 $500 $500

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Solution Summary

Edmondson Electric Systems projects cash flow and WACC data is examined. The NPV for the project is determined.

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WACC: 10%
Year: 0 1 2 3 ...

Solution provided by:
Gaurav Agarwal, MS
Education
  • BE, Bangalore University, India
  • MS, University of Wisconsin-Madison
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