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The powerplant could be shut down completely and we could install a power cable that runs from one of the other nearby i

Posted: Tue Jan 18, 2022 12:59 pm
by answerhappygod
The powerplant could be shut down completely and we could
install a power cable that runs from one of the other nearby
islands that has a powerplant. This powerplant will
still produce just as much pollution as the one on our island,
but it is under a different government that does not care about air
pollution. This would cost the cost our company $1,000,000 at the
end of the year, $3,000,000 at the end of next year and $1,000,000
yearly thereafter for maintenance.
Given this information above , calculate the present value of
all cash outflows . The discount rate is 10.38%