What is the net present value of the project at a discount

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Reference no: EM132057067

Weir Inc. is considering a project that contributes $14,000 at the end of the first year and $9,000 at the end of the second year? The initial cost of the project is $16,000 (negative cash flow!).

What is the net present value of the project at a 10% discount rate?

Hint: Net present value is the sum of all present and future cash flows but present cash flows at t = 0 are not discounted; all other cash flows occurring after t = 0 must be discounted.

Reference no: EM132057067

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