What will be the total value of the inflows after five years

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Question - Turner Video will invest $76,500 in a project. The firm's cost of capital is 12 percent. The investment will provide the following inflows.

Year Inflow

1) $24,000

2) $26,000

3) $30,000

4) $34,000

5) $38,000

The internal rate of return is 26 percent.

If the reinvestment assumption of the net present value method is used, what will be the total value of the inflows after five years?

Reference no: EM132158585

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