Question
A company is currently evaluating a project which requires investments of 11 700 dollars now, and 6 200 dollars at the end of year 1.
A company is currently evaluating a project which requires investments of 11 700 dollars now, and 6 200 dollars at the end of year 1. The cash inflow from the project will be 17 900 dollars at the end of year 2 and 16 600 dollars at the end of year 3. The cost of capital is 15%. What is the discounted payback period (DPP) and the net present value?
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The discounted payback period DPP is 247 years and the net present value NPV is 735863 Discounted pa...Get Instant Access to Expert-Tailored Solutions
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Management and Cost Accounting
Authors: Colin Drury
8th edition
978-1408041802, 1408041804, 978-1408048566, 1408048566, 978-1408093887
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