37 What is the Net Present Value for a project costing 200K

#37 What is the Net Present Value for a project costing $200K in the first year (no discount) that produces a net benefit of $40K per year for seven years when the discount rate is 7%?

a. 5 years

b. $215,572

c. $15,572

d. 1.0779

NPV = 15.572k or 15,572

ans is c

Discount rate	7.0000%
Cash flows	Year	Discounted CF= cash flows/(1+rate)^year	Cumulative cash flow
(200.000)	0	(200.00)	(200.00)
40.000	1	37.38	(162.62)
40.000	2	34.94	(127.68)
40.000	3	32.65	(95.03)
40.000	4	30.52	(64.51)
40.000	5	28.52	(35.99)
40.000	6	26.65	(9.34)
40.000	7	24.91	15.57

#37 What is the Net Present Value for a project costing $200K in the first year (no discount) that produces a net benefit of $40K per year for seven years when

37 What is the Net Present Value for a project costing 200K

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