Determine the npv at a cost of capital

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Question - Washington Community Hospital Is expecting its new dialysis unit to generate the following cash flows:

Initial investment: (20,000,000)

Net operating cash flows:

Year 1: $2000,000

Year 2: $4000,000

Year 3: $5000,000

Year 4: $9000,000

Year 5: $28,000,000

Required - Determine the NPV at a cost of capital of 20 percent and compute the IRR.

Reference no: EM133119328

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