What is the project net present value

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Kim Hotels is interested in developing a new hotel in Seoul. The company estimates that the hotel would require an initial investment of $17 million. Kim expects the hotel will produce positive cash flows of $3 million a year at the end of each of the next 20 years. The project's cost of capital is 15%.

-What is the project's net present value? Do not round intermediate calculations. Enter your answer in millions. For example, an answer of $1.23 million should be entered as 1.23, not 1,230,000. Round your answer to two decimal places.

Reference no: EM133071992

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