What is the net present value of opportunity

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Swim Locker Inc. sells swimming apparel and accessories; its WACC is 9.9 percent. Time Machine Inc. sells watches and has a WACC of 13.4 percent. Swim Locker is considering adding waterproof watches to their product line. The initial cash outlay for the watch project is $170,000. The expected net cash inflows (incremental to the watch project) are $73,000 a year for 7 years. What is the net present value of this opportunity for Swim Locker? Round your answer to two decimal places, and omit dollar signs (i.e., enter -$2,001.243 as -2001.24).

Reference no: EM133062237

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