A company plans to invest in a project with the following financials Initial investment $15,000 Yearly cash inflows $5,000 for 4 years Discount rate 11 Requirements Calculate the NPV Determine the IRR Perform a sensitivity analysis with discount rates of 9 and 13 Discuss the impact of changing cash...

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A company plans to invest in a project with the following financials: Initial investment: $15,000 Yearly cash

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A company plans to invest in a project with the following financials:

Initial investment: $15,000
Yearly cash inflows: $5,000 for 4 years
Discount rate: 11%

Requirements:

Calculate the NPV.
Determine the IRR.
Perform a sensitivity analysis with discount rates of 9% and 13%.
Discuss the impact of changing cash inflows by ±10%.

Related Book For answer-question

Corporate Financial Management

ISBN: 978-0273758839

5th edition

Authors: Glen Arnold

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Posted Date: Jun 03, 2024 07:38 AM

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A company plans to invest in a project with the following financials: Initial investment: $15,000 Yearly cash

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Corporate Financial Management

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