Question
A company will invest with an initial investment of $1,000,000. Assuming a market interest rate of 5% and cash flow for 5 years is expected
A company will invest with an initial investment of $1,000,000. Assuming a market interest rate of 5% and cash flow for 5 years is expected in the table below:
| Year | Cash Flow |
| 1 | 425,000 |
| 2 | 384,000 |
| 3 | 321,500 |
| 4 | 282,500 |
| 5 | 200,000 |
Calculate the PAYBACK PERIOD and NPV!
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International Financial Management
Authors: Cheol S. Eun, Bruce G.Resnick
6th Edition
71316973, 978-0071316972, 78034655, 978-0078034657
