Calculate the net present value of project

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Reference no: EM131910360

Suppose a project is expected to generate annual cash flow of $164374 x1.25 next year, S164374 x125x125?.e. 164374 x 125 squared the year after, and the subsequent (annual) cash flows are expected to grow at 2.7 percent annually forever. If project costs $560,000 and the cost of capital is 15.7 percent, calculate the net present value of the project.

Reference no: EM131910360

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