What is the worst-case npv for the project

Reference no: EM131982219

Question: You have just been hired as a consultant by Pace Corporation, and have been asked to evaluate their capital budgeting procedures. They provide you with a list of recently accepted projects, and you learn that the firm accepts investments whose payback period is 6 years or less. After recovering from shock, you read that one of the accepted projects has an initial cost of $1, 900. All cash flows except the initial investment are non-negative. If the appropriate discount rate is 13% per year, what is the worst-case NPV for this project?

Reference no: EM131982219

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