Consider a project that costs $5000 and has an expected future cash flow of $1000 per year forever.
If we wait one year, the cost will increase to $6000 and the expected future cash flow will increase to $1200.
If the required return is 10%, should we accept the project?
If we should, when should we start the project and why
please shows steps please.
Get Answers For Free
Most questions answered within 1 hours.