Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A project has a cash flow of ($1,327,500) at time 0, $280,000 in year 1, $310,000 in year 2, $466,000 in year 3, $320,000 in
A project has a cash flow of ($1,327,500) at time 0, $280,000 in year 1, $310,000 in year 2, $466,000 in year 3, $320,000 in year 4, and $539,000 in year 5. The companys cost of capital is 12%. What is the discounted payback period for this project?
2.79 yrs. |
4.97 yrs. |
4.65 yrs. |
3.85 yrs. |
Never |
The companys cost of capital is 12%. What is the internal rate of return (IRR) of this project?
12.3% |
10.7% |
9.9% |
13.6% |
12.0% |
The companys cost of capital is 12%. What is the payback period for this project?
3.8 yrs. |
2.8 yrs. |
4.9 yrs. |
Never |
3.2 yrs. |
The companys cost of capital is 12%. What is the net present value (NPV) of this project?
($7,505.02) |
($25,165.94) |
$10,528.56 |
$28,944.92 |
$47,754.65 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started