An overhaul of a firms outdated production facilities is

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An overhaul of a firm's outdated production facilities is expected to cost £100,000. The improvement to the firm's net cash flow over the next five years is expected to be as follows:

Year 1

£40,000

Year 2

£35,000

Year 3

£30,000

Year 4

£20,000

Year 5

£1 0,000.

Calculate the net present value using the discount rates of 10, 12 and 14 per cent.

Reference no: EM13567809

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