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Assignment: Chapter 0 9 Capital Budgeting Techniques HOME PROFILE ORDERS RENTALS COURSES Back to Assignment Attempts Average ? 1 5 . The NPV and payback

Assignment: Chapter 09 Capital Budgeting Techniques
HOME
PROFILE
ORDERS
RENTALS
COURSES
Back to Assignment
Attempts
Average ?1
5. The NPV and payback period
Suppose you are evaluating a project with the cash inflows shown in the following table. Your boss has asked you to calculate the project's net present value (NPV). You don't know the project's initial cost, but you do know the project's regular, or conventional, payback period is 2.5 years.
The project's annual cash flows are:
\table[[Year,Cash Flow],[Year 1,$325,000
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