What is the projects npv

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WACC The Patrick Company's cost of common equity is 16 percent, its before-tax cost of debt is 13 percent, and its marginal tax rate is 40 percent. The stock sells at book value. Using the following balance sheet, calculate Patrick's WACC.

Assets Liabilities and Equity
Cash $120
Accounts receivable 240
Inventories 360 Long-term debt $1,152
Plant and Equipment, net 2,160 Common equity 1,728
Total assets $2,880 Total liabilities and equity $2,880

NPV Project K costs $52,125, its expected net cash inflows are $12,000 per year for 8 years, and its WACC is 12 percent. What is the project's NPV?

Reference no: EM13128057

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