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P11-1 (similar to) Question Help   ?(Related to Checkpoint? 11

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P11-1 (similar to)

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?(Related to Checkpoint? 11.1) ? (Net present value?calculation)  Dowling Sportswear is considering building a new factory to produce aluminum baseball bats. This project would require an initial cash outlay of

?$6,000,000

and would generate annual net cash inflows of

?$1,200,000

per year for

9

years. Calculate the? project's NPV using a discount rate of

7

percent.

If the discount rate is

7

?percent, then the? project's NPV is

?$nothing.

?(Round to the nearest? dollar.)