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A firm invested cash Rs.200,000 on a project. It is forecasted that the following cash flow will be generated by this project in the coming

A firm invested cash Rs.200,000 on a project. It is forecasted that the following cash flow will be generated by this project in the coming 5 years. The firm’s required rate of return is 12%.

Year       Cash Inflow

 1                 Rs. 50,000

 2                    50,000

 3                    75,000

  4                   125,000

  5                    75,000


Required: Use the above information to calculate

  • Payback period
  • Discounted payback period
  • NPV
  • Profitability Index
  • IRR

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