Brower,inc just constructed a manufacturing plant in Ghana. The construction cost is 9 billion Ghanian cedi. Brower intends to leave the plant open 3 years. During the 3 years of operation, cedi cash flows are expected to be 3 billion cedi, 3 billion cedi and 2 billion cedi respectively. Operating cash flows will begin one year from today and are remitted back to the parent at the end of each year. At the end of third year, Brower expects to sell the plant for 5 billion cedi. The Brower has required rate of retur/17% It currently takes 8,700 cedi to buy one U.S dollar and the cedi is expected to depreciate by 5 percent per year. Determine the NPV for this project. Should Brower build the plant?

Brower,inc just constructed a manufacturing plant in Ghana. The construction cost is 9 billion Ghanian cedi. Brower intends to leave the plant open 3 years. During the 3 years of operation, cedi cash flows are expected to be 3 billion cedi, 3 billion cedi and 2 billion cedi respectively. Operating cash flows will begin one year from today and are remitted back to the parent at the end of each year. At the end of third year, Brower expects to sell the plant for 5 billion cedi. The Brower has required rate of retur/17% It currently takes 8,700 cedi to buy one U.S dollar and the cedi is expected to depreciate by 5 percent per year. Determine the NPV for this project. Should Brower build the plant?