Sap inc. received a $1.5 million grant under its small business innovation program. sap invested the grant money and developed a system to remove metal contaminants from storm water in shipyards. the firm estimates that each shipyard spends $500,000 a year on storm water clean-up efforts. if sap is able to sign up and retain four shipyards in the first year onwards, what is the present value (pv) of the project (net of investment) if the cost of capital for sap is 14% per year? assume a cost of operations and other costs for sap equal 50% of revenue. a) $4.80 million
b) $5.64 million
c) $4.51 milliond) $5.93 million

Which statement below best describes george waring's approach to solving the problems of water-borne illness? a. waring is going with his "gut," because he believes that instincts and emotions are the best guides for action. b. waring efficiently and thoroughly lays out the case for why the problems are too large and overwhelming to be solved: people should just move out of cities back to their farms. c. waring has gathered the testimonies of people who live in densely populated areas in order to learn how they themselves have solved their problems. d. waring exhibits the industrial age's increased respect for and reliance on science and the scientific method.

Your take on decision making process

Parks corporation is considering an investment proposal in which a working capital investment of $10,000 would be required. the investment would provide cash inflows of $2,000 per year for six years. the working capital would be released for use elsewhere when the project is completed. if the company's discount rate is 10%, the investment's net present value is closest to (ignore income taxes) ?