What is the total cash flow of project today

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Solar Co. is currently evaluating a proposal to build a new plant that will manufacture solar panels. The new plant is expected to cost $207 million today (at t = 0). The expected useful life of the plant is eight years. The salvage value of the plant in eight years is $35 million (at t = 8). Net working capital is expected to increase by $23 million today (at t = 0) and will remain at the same level until the project ends. Payment of $0.5 million for a feasibility study commissioned one year ago is due today (at t = 0). What is the total cash flow of this project today (at t = 0)?

Reference no: EM132481783

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