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Compute the net present value of this project

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Reference no: EM133141741

Question - Premium Ltd is considering a project with the following relevant cash flows:

Initial Outlay = $1,000,000

Incremental Cash Flows from Operations Year 1-5 = $290,000 per year

Terminal Cash Flow at the End of Year 5 = $90,000

Required - Compute the net present value of this project if the firm's cost of capital is 10%?

Reference no: EM133141741

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