Question

Mega Dynamics is considering a project that has the following cash flows: Year Project Cash Flow...

Mega Dynamics is considering a project that has the following cash flows:

Year

Project Cash Flow

0

?

1

$2,000

2

3,000

3

3,000

4

1,500


The project has an IRR of 17% . The firm's cost of capital is 11 percent. What is the project's net present value (NPV)?

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