What is the project net present value

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Kim Hotels is interested in developing a new hotel in Seoul. The company estimates that the hotel would require an initial investment of $23 million. Kim expects that the hotel will produce positive cash flows of $3.91 million a year at the end of each of the next 20 years. The project's cost of capital is 13%.

a. What is the project's net present value?

Reference no: EM131521900

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