Question
Assume the discount rate for the following is 10% and period 0 = right now. Calculate by hand/calculator the present value of (-7, 7, 7)
Assume the discount rate for the following is 10% and period 0 = right now.
Calculate by hand/calculator the present value of (-7, 7, 7) at period 0. Then calculate the NPV of the same stream in Excel. What adjustment did you make? Write the formula. Do this for all the values in Table 1.
| -7 | 7 | 7 |
| 7 | -7 | 7 |
| 7 | 7 | -7 |
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The Dark Side Of Valuation
Authors: Aswath Damodaran
3rd Edition
0134854101, 9780134854106
