ABC co need to undertake the project cost of $225,000. There two project are in view project
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ABC co need to undertake the project cost of $225,000. There two project are in view project 1 has 6 years life and generate cashflows $70,000 project 2 has 4 years life and generate cashflows $98,000. Cost of capital is12% for both projects. Compute the net present value.
What is NPV? The net present value is an important tool for capital budgeting decision to assess that an investment in a project is worthwhile or not? The net present value of a project is calculated before taking up the investment decision at... Cost Of Capital
Cost of capital refers to the opportunity cost of making a specific investment . Cost of capital (COC) is the rate of return that a firm must earn on its project investments to maintain its market value and attract funds. COC is the required rate of...
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As Per given information we are calculating Net Present Value for both pro...View the full answer
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