Dickson Co. is considering a project that has the following cash flow and cost of capital (r) data. What is the project's NPV? Note that a project's expected NPV can be negative, in which case it will be rejected. $\begin{array}{lcccccc}
r & 12.00 \% & & & & & \
\text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \
\text { Cash flows }& -\$ 1,100 & \$ 400 & \$ 390 & \$ 380 & \$ 370 & \$ 360
\end{array}$

Question

Dickson Co. is considering a project that has the following cash flow and cost of capital (r) data. What is the project's NPV? Note that a project's expected NPV can be negative, in which case it will be rejected. $\begin{array}{lcccccc}
r & 12.00 \% & & & & & \
\text { Year }  & 0 & 1 & 2 & 3 & 4 & 5 \
 \text { Cash flows }& -\$ 1,100 & \$ 400 & \$ 390 & \$ 380 & \$ 370 & \$ 360
\end{array}$

Quizplus · Accepted Answer

$\begin{array}{lcccccc}
WACC: & 12.00 \% & & & & & \
\text { Year }  & 0 & 1 & 2 & 3 & 4 & 5 \
 \text { Cash flows }& -\$ 1,100 & \$ 400 & \$ 390 & \$ 380 & \$ 370 & \$ 360
\end{array}$ 
NPV = $277.94

Dickson Co A) $25015 B) $277

Dickson Co A) $25015
B) $277