Question
A company is considering the purchase of copier that costs $5,000. Assume a require rate of return of 10% and the following cash flow
A company is considering the purchase of copier that costs $5,000. Assume a require rate of return of 10% and the following cash flow schedule: end of year 1: $3,000; year 2: $2,000; and year 3: $2,000. a. What is the project's payback period? b. What is the project's discounted payback period? c. What is the project's NPV? d. What is the project's IRR? e. What is the project's profitability index (PI)?
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Statistics For The Behavioral Sciences
Authors: Frederick J Gravetter, Larry B. Wallnau
9th Edition
1111830991, 978-1111830991
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