What is the npv for project

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McGilla Golf has decided to sell a new line of golf clubs. The length of this project is seven years. The company has spent $113063 on research and development for the new clubs. The plant and equipment required will cost $2834758 and will be depreciated on a straight-line basis. The new clubs will also require an increase in net working capital of $131471 that will be returned at the end of the project. The OCF of the project will be $861926. The tax rate is 29 percent, and the cost of capital is 10 percent. What is the NPV for this project?

Reference no: EM132037888

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