Foundations of Financial Management
Foundations of Financial Management
16th Edition
ISBN: 9781259277160
Author: Stanley B. Block, Geoffrey A. Hirt, Bartley Danielsen
Publisher: McGraw-Hill Education
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Chapter 12, Problem 15P

The Horizon Company will invest $ 60,000 in a temporary project that will

generate the following cash inflows for the next three years.

Chapter 12, Problem 15P, The Horizon Company will invest  60,000 in a temporary project that will generate the following cash

The firm will also be required to spend $ 10,000 to close down the project at the end of the three years. If the cost of capital is 10 percent, should the investment be undertaken?

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Foundations of Financial Management

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