You have been asked to analyze a capital investment proposal.The project's cost is $2 775,000.Cash inflows are projected to be $925,000 in year 1; $1 000,000 in year 2; $1 000,000 in year 3; $1 000,000 in year 4; and $1 225,000 in year 5.Assume that your firm discounts capital projects at 15.5%.What is the project's NPV?
A)$101,247
B)$285,106
C)$473,904
D)$582,380

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The Answer of You have been asked to analyze a capital investment proposal.The project's cost is $2 775,000.Cash inflows are projected to be $925,000 in year 1; $1 000,000 in year 2; $1 000,000 in year 3; $1 000,000 in year 4; and $1 225,000 in year 5.Assume that your firm discounts capital projects at 15.5%.What is the project's NPV?
A)$101,247
B)$285,106
C)$473,904
D)$582,380

You Have Been Asked to Analyze a Capital Investment Proposal