Private cemetery business is looking up

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Reference no: EM131057714

The Xdiagnose Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is “looking up.” As a result, the cemetery project will provide a net cash inflow of $101,734 for the firm during the first year, and the cash flows are projected to grow at a rate of 5 percent per year forever. The project requires an initial investment of $2.4 million. If Xdiagnose requires a 13 percent return on such undertakings, what is the NPV of the project?

Reference no: EM131057714

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Private cemetery business is looking up : The Xdiagnose Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is “looking up.” The project requires an initial investment of $2.4 million. If Xdiagnose requires a 13 percent return on such undert..

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