Question
Capital World Inc. is considering a project that has the following cash flow and WACC is 10.25%. year 0 1 2 3 4 Cash flows
Capital World Inc. is considering a project that has the following cash flow and WACC is 10.25%.
| year | 0 |
| 1 |
| 2 |
| 3 |
| 4 |
| Cash flows | ($1,400) | $450 | $475 | 500% | $500 | ||||
| a. Calculate payback period? | |||||||||
| b. Calculate discounted payback period? | |||||||||
| c. Calculate NPV? | |||||||||
| d. Calculate IRR? | |||||||||
| e. Calculate MIRR? | |||||||||
| f. Calculate PI? | Show work
| ||||||||
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Financial Management Principles And Practice
Authors: Timothy J. Gallagher, Joseph D. Andrew
3rd Edition
0131768824, 978-0131768826
