The net present value of the project

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Reference no: EM132092971

A company would like to invest in a project. The investment cost are $100,000 at the beginning of the first period, $75,000 more athe bigging of the third period, and $80,000 more at the beginning of the fourth period. The project has a 10-period useful life. The ash inflows at the end of period 4 through 10 are $20,000, $60,000, $80,000, $90,000, $120,000. $150,000, and $200,000, respectively. The cost of capital in period 1 through period 10 is 11%.

The net present value of the project is $ __________.

Please show me how to calculate the periods step by step.

Reference no: EM132092971

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