At the State University of Costa Rica, there is a project to manufacture upper limb prostheses using 3D printers. The initial investment is $6,500,000 and the estimated net cash flows for the next 5 years are $400,000, $550,000, $1,300,000, $3,500,000 and $3,700,000. The salvage value is negligible. In year 3, major maintenance is required on the 3D printers of $1,900,000. Financing rate 18%, investment rate 6.5%. TREMA 20%, should the project be accepted?
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