The project will have no impact on working capital

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Dale's car shop will produce an operating cash flow of $34,600 a year for 5 years. The initial fixed asset investment in the project will be $68,900. The net aftertax salvage value is estimated at $15,000 and will be received during the last year of the project's life. The project will have no impact on working capital. What is the net present value of the project if the required rate of return is 13%?

Reference no: EM131621263

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