Compute the net present value of the project

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Suppose Corporation Z is considering investing in a new project of urban development.

The cost of the project is $11000000 USD. Corporation Z expects that the non-incremental yearly cash flows from the project are $2500000 USD for the next five years; e.g. that is $2500000 USD each year.

Using the calculated WACC in the previous question, what is the Net Present Value (NPV) of the project?

Note: Express your answers in strictly numerical terms. For example, if the answer is $500, write enter 500 as an answer."

Reference no: EM132004556

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