Question: A project which requires an initial investment of $25,000.00, has the following for annual cash inflows:

Year Cash Inflow

If the cost of capital is 12%, the present value of the cash inflows is:

a. _____ $25,282.00 and the project can be accepted.

b. _____ $24,467.00 and the project can be accepted.

c. _____ $24,467.00 and the project should be rejected.

d. _____ $25,282.00 and the project should be rejected.