Calculate the npv to the nearest cent

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The Anchorage Corp. is considering a three-year project. Assume constsant depreciation (straight-line) with zero salvage value remaining after three years. Calculate the NPV to the nearest cent.

WACC 13.7%

Additional investment in fixed assets at t = 0 $75,000

Annual sales (constant for three years starting t = 1) $75,000

Operating costs (excl. depreciation) (also constant also 3 years $25,000

Tax rate 21.0%

Reference no: EM133071951

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