Forever Clean Corporation Is Considering a Project with Annual After-Tax

question 51

Multiple Choice

Forever Clean Corporation is considering a project with annual after-tax cash flows of $6000 per year for 6 years. The company's cost of capital is 6%. Using the net present value method, what is the maximum amount that the company should invest? (Round to the nearest whole dollar) .

• A) $24 000
• B) $25 380
• C) $29 504
• D) $36 000

---

Definitions:

Mathematics

The abstract science of quantity, structure, space, and change, utilizing symbols and logical reasoning.

National Defense Education Act

Enacted in 1958, this law provided funding for education in the U.S., particularly in science and engineering, in response to the Soviet Union's launch of Sputnik.

Textbooks and Equipment

Educational materials and tools used in the process of teaching and learning in educational institutions.

Henry Wallace

Henry Wallace was an American politician who served as the 33rd Vice President of the United States, known for his progressive views and advocacy for the common man.