Explore BrainMass

Explore BrainMass

    Net present value (NPV) of a project

    Not what you're looking for? Search our solutions OR ask your own Custom question.

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    A project will require an initial investment of $750,000 and will return $200,000 each year for five years. If taxes are ignored and the required rate of return is 9%, what is the project's net present value? Based on this analysis, should the company proceed with the project?

    © BrainMass Inc. brainmass.com March 4, 2021, 7:46 pm ad1c9bdddf
    https://brainmass.com/business/net-present-value/net-present-value-npv-project-121826

    Solution Preview

    A project will require an initial investment of $750,000 and will return $200,000 each year for five years. If taxes are ignored and the required rate of return is 9%, what is the project's net present value? Based on this analysis, should the company proceed with the ...

    Solution Summary

    The expert evaluates a project using net present value (NPV).

    $2.49

    ADVERTISEMENT