Question

Can you please help me with this

Answer 1

NPV = ((((-220/1.1 +540)/1.1 -640)/1.1 +2080)/1.1 +590)/1.1 -1600

NPV = 406.76

The net present value is positive. It seems a little low for a 5-year commitment. It would need to be compared to other opportunities and the thresholds customarily used for such decisions. In the absence of any other information, an appropriate choice may be ...

... accepted