Quad enterprises is considering a new three-year expansion


Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.65 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. The project is estimated to generate $2023029 in annual sales, with costs of $860058. If the tax rate is 40 percent and the required return on the project is 10 percent, what is the project's NPV? (round answer to neareast dollar amount, indicate negative value with a minus sign)

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Financial Management: Quad enterprises is considering a new three-year expansion
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