Decided to sell new line of golf clubs

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Reference no: EM131075739

McGilla Golf has decided to sell a new line of golf clubs. The length of this project is seven years. The company has spent $1160456 on research and development for the new clubs. The plant and equipment required will cost $28357207. The new clubs will also require an increase in net working capital of $1347592 that will be returned at the end of the project. The OCF of the project will be $8045984. The tax rate is 33 percent, and the cost of capital is 7 percent. What is the NPV for this project?

Reference no: EM131075739

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Decided to sell new line of golf clubs : McGilla Golf has decided to sell a new line of golf clubs. The length of this project is seven years. The company has spent $1160456 on research and development for the new clubs. What is the NPV for this project?

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