Question
A) A project has an initial cost of $57,500, expected net cash inflows of $13,000 per year for 11 years, and a cost of capital
A) A project has an initial cost of $57,500, expected net cash inflows of $13,000 per year for 11 years, and a cost of capital of 10%. What is the project's NPV? (Hint: Begin by constructing a time line.) Do not round your intermediate calculations. Round your answer to the nearest cent.
B) A project has an initial cost of $74,175, expected net cash inflows of $10,000 per year for 6 years, and a cost of capital of 11%. What is the project's PI? Do not round your intermediate calculations. Round your answer to two decimal places.
C) A project has an initial cost of $53,475, expected net cash inflows of $10,000 per year for 8 years, and a cost of capital of 11%. What is the project's payback period? Round your answer to two decimal places.
D) A project has an initial cost of $60,000, expected net cash inflows of $14,000 per year for 7 years, and a cost of capital of 13%. What is the project's discounted payback period? Round your answer to two decimal places.
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