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Calculate the present value (NPV) of the following mixed stream of cash flows if the required discount rate is 10% per annum, interest is compounded

Calculate the present value (NPV) of the following mixed stream of cash flows if the required discount rate is 10% per annum, interest is compounded annually.

Year Cash flow

1 R20 000

2 R4 000

3 R600 000

4 -R80 000

5 R40 000

6 R8 000

(a) R446 988.05

(b) R491 686.86

(d) R577 613.08

(e) None of the above

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