What is the investment net present value for parks company

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Problem 1: Parks Company is considering an investment proposal in which a working capital investment of $10,000 would be required. The investment would provide cash inflows of $2,000 per year for six years. The working capital would be released for use elsewhere when the project is completed. If the company's discount rate is 10%, what is the investment's net present value? (Ignore income taxes in this problem.)

A. $1.290.

B. ($1,290).

C. $2,000.

D. $4,350.

Reference no: EM132754611

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