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Find and calculate the net present value of the investment

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Reference no: EM132729663

Problem 1: An initial investment of $8,320 thousand on plant and machinery is expected to generate net cash flows of $3,411 thousand, $4,070 thousand, $5,824 thousand, and $2,065 thousand at the end of first, second, third and fourth year respectively. At the end of the fourth year, the machinery will be sold for $900 thousand. Calculate the net present value of the investment if the discount rate is 18%. Round your answer to nearest thousand dollars.

Reference no: EM132729663

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