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Calculate the? project npv using a discount rate

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Reference no: EM133116239

Carson Trucking is considering whether to expand its regional service center in? Mohab, UT. The expansion requires the expenditure of ?$9,000,000 on new service equipment and would generate annual net cash inflows from reduced costs of operations equal to ?$3,500,000 per year for each of the next 6 years. In year 6 the firm will also get back a cash flow equal to the salvage value of the? equipment, which is valued at ?$1.1 million. ?Thus, in year 6 the investment cash inflow totals ?$4,600,000.

Calculate the? project's NPV using a discount rate of 10 percent.

If the discount rate is 10 ?percent, then the? project's NPV is ?$ enter your response here. ?(Round to the nearest? dollar.)

Reference no: EM133116239

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