1 Just let me say that this encounter has been entirely professional and most helpful. 2  I liked that I could ask additional questions and get answered in a very short turn around. 3  Esther Woodstock, NY. 4  Thank you so much for taking your time and knowledge to support my concerns.
A project's initial costs are those that are incurred during the design and construction process. They can include any of the following: 1  Planning, preliminary engineering, and project design. 2  Environmental impact report. 3  Project-related staff training.  Final engineering.
How to find the initial cost of the project (finance)? First off I ALREADY KNOW THE ANSWER. I'm not looking for you to give me the answer I want to know HOW to get it. A project has expected cash inflows, starting with year 1, of $2,200, $2,900, $3,500 and finally in year four, $4,000. The profitability index is 1.14 and the discount rate is 12 percent. What is the initial cost of the project? The answer is 8166.19 but I cant figure out how to solve it.