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A firm evaluates all of its projects by using the NPV decision rule. Year Cash Flow 0 $31,000 1 24,000 2 15,000 3 11,000 a.
A firm evaluates all of its projects by using the NPV decision rule.
Year Cash Flow
0 $31,000
1 24,000
2 15,000
3 11,000
a. At a required return of 10 percent, what is the NPV for this project?
b. At a required return of 39 percent, what is the NPV for this project?
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