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CF Growth rate Discount rate 100 8% 10% Consider a project that costs S500 today CFs in year 1 through 5 grow at arateg, CFt-CF-1
CF Growth rate Discount rate 100 8% 10% Consider a project that costs S500 today CFs in year 1 through 5 grow at arateg, CFt-CF-1 (1 Given a discount rate r of 10% and a growth rate of 8% find the NPV and IRR Use Excel's data tables to perform a sensitivity analysis on the NPV and IRR of the project varying the discount rates from 0%, 3%, 6%, and the growth rates from 0%, 4%, 8% 16% Given the growth rate of 16%, build a chart displaying the NPV as a function of discount rate 21% Year Cash flow 500.00 100.00 108.00 116.64 125.97 136.05 NPV IRR NPV IRR 4% 8% 12% 16% Growth rate
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