Compute the net present value

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The Horizon Company will invest $67,000 in a temporary project that will generate the following cash inflows for the next three years.

Year Cash Flow
1 $ 21,000
2 34,000
3 36,000

The firm will also be required to spend $18,000 to close down the project at the end of the three years.

Please compute the net present value if the cost of capital is 9 percent. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places.)

Reference no: EM133113784

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