Question
A project has an initial cost of $60,000, expected net cash inflows of $10,000 per year for 8 years, and a cost of capital of
A project has an initial cost of $60,000, expected net cash inflows of $10,000 per year for 8 years, and a cost of capital of 12%. Show your work. What is the project's NPV? (Hint: Begin by constructing a timeline.) What is the project's IRR? What is the project's MIRR? What is the project's PI? What is the project's payback period? What is the project's discounted payback period?
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Answer To calculate the projects NPV IRR MIRR PI payback period and discounted payback period we nee...
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Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
12th edition
1285850033, 978-1305480698, 1305480694, 978-0357688236, 978-1285850030
