An aircraft company has signed a contract to sell a plane for $20 million.The firm buying the plane will pay for it in 5 annual payments (at year end)of $4 million.If the firm's cost of capital is 6%,what is the net present value of this payment?

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The Answer of An aircraft company has signed a contract to sell a plane for $20 million.The firm buying the plane will pay for it in 5 annual payments (at year end)of $4 million.If the firm's cost of capital is 6%,what is the net present value of this payment?

An Aircraft Company Has Signed a Contract to Sell a Plane