Calculate the NPV of the following project for discount rates of 5, 12 and 19 per cent.
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Calculate the NPV of the following project for discount rates of 5, 12 and 19 per cent.
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Year Cash flow 0 -77,000 +55,000 2 +320,000
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The Net Present Value NPV of a project is calculated by discounting the cash flows to their present values and then subtracting the initial investment The formula for NPV is Given the cash flows for the project Lets calculate ...View the full answer
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Related Book For
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
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