Numbers in parentheses are outflows both year 0 and year 3


Able Corporation has Project A with the following cash flows and a 6.8% cost of money: Numbers in parentheses are outflows. Both Year 0 and Year 3 cash flows are outflows. What is the net present value?

Year Cash flow

 0 $(351,000)

1   $ 95,000

 2 $180,000

3   $(300,000)

4 $ 280,000

5 $260,000

 6 $180,000

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Business Economics: Numbers in parentheses are outflows both year 0 and year 3
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