A company is evaluating two separate projects, both with the same $15,000 initial investment.
What is the net present value of Project 1?
multiple choice
$26,221
$24,868
$11,221
$9,868 Correct
Explanation
Knowledge Check 01
($10,000 × .9091) + ($10,000 × .8264) + ($10,000 × .7513) = $24,868.
$24,868 − $15,000 = $9,868.
Monday 9 May 2022
A company is evaluating two separate projects, both with the same $15,000 initial investment.
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