Aerospace Dynamics will invest $155,000 in a project that will produce the following cash flows. The cost of capital is 11 percent. (Note that the fourth year's cash flow is negative) Use Appendix B for an approximate answer but calculate your final answer using the formula and financial calculator methods Year 1 2 Cash Flow $ 51,000 62,000 3 54,000 4 (62,000) 114,000 a. What is the net present value of the project? Note: Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places​

Q&A Education