What is the npv of a project if the initial costs are


Finance: NPV

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Question

Green Landscaping, Inc. is using net present value (NPV) when evaluating projects. Green Landscaping's cost of capital is 12.20 percent. What is the NPV of a project if the initial costs are $2,209,640 and the project life is estimated as 7 years? The project will produce the same after-tax cash inflows of $494,628 per year at the end of the year.

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