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A firm evaluates all of its projects by applying the NPV decision rule. A project under consideration has the following cash flows: Year Cash Flow
A firm evaluates all of its projects by applying the NPV decision rule. A project under consideration has the following cash flows:
Year | Cash Flow |
0 | -28700 |
1 | 12700 |
2 | 15700 |
3 | 11700 |
What is the NPV for the project if the required return is 12 percent?
NPV?
What is the NPV for the project if the required return is 24 percent?
NPV?
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