What will be the npv for the project

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Problem 1: Apple is trying to promote their new fitness app. To do this they will give out free memberships at the start of the project to generate interest. This initial cost is expected to be $1,700,000. Expenses will be $4,500 per year increasing by 4% each year for 15 year total project life. By building up a solid customer base, Apple estimates $140,000 increasing by 5% per year in profits. Assuming a 6% return, what will be the NPV for this project?

Reference no: EM133000285

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