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ABS Pvt Ltd is expecting a minimum 12% return for the investments they made on new projects They are considering on a new project which
ABS Pvt Ltd is expecting a minimum 12% return for the investments they made on new projects They are considering on a new project which generates cash flows (are in Rs. '000) as follows. Year 1 Year 2 Year 3 Year 4 Revenue 4000 3500 3000 2500 Operating Cost 1600 1600 1400 1200 The Initial Investment is Rs.5000,000 and investment on working capital is Rs. 1000,000 You are required to: 1 Calculate NPV, IRR and NBIR for the above project. Show your calculations
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