IRCC WEB FORM A sum of 400,000 shs is to be invested by VU today in IT project and is expected to give series of cash inflows as below:
Year 1 shs 70,000/
Year 2 shs. 120,000/
Year 3 shs. 140,000/
Year 4 shs.140,000/
Year 5 shs.40,000/
If the opportunity cost discount factor is 8% determine whether to accept or reject the project.