Example 1: Calculating NPV A sum of $ 400,000 dollars invested today in an IT project may give a series of below cash in
Posted: Sun May 08, 2022 9:03 am
Example 1: Calculating NPV A sum of $ 400,000 dollars invested today in an IT project may give a series of below cash inflows in future: $ 70,000 in year 1 $ 120,000 in year 2 $ 140,000 in year 3 $ 140,000 in year 4 $ 40,000 in year 5 If Opportunity cost of capital is 8% per annum, then should we accept or reject the project?