RWJ 7th Edition Solutions - Colby College

OCFbest = {[($38)(1.1) – ($25)(0.9)](100K)(1.1) – $900K(0.9)}(0.65) + 0.35($112K) OCFbest = $892,650. The best-case NPV is: NPVbest = –$896,000 + $892,650(PVIFA15%,8) NPVbest = $3,109,607.54. … ................
................