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Determine the npv of the project for ajax corporation

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Problem 1: Ajax Corporation is planning a 10 year project that will have an initial cost of $500,000. During the first 2 years, there will be cash outflows of $40,000. Years 3-6 will see cash inflows of $120,000. Years 7-10 will see cash inflows of $200,000. If the company's required rate of return is 9%, determine the NPV of the project.

Option 1: $186,863

Option 2: $143,200

Option 3: $322,128

Option 4: $255,290

Reference no: EM132969806

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