Crescent Company is considering a project with an initial investment of $597,500 that is expected to produce cash inflows of $128,000 for eleven years. Crescent's required rate of return is 20 %. What is the NPV of the project? What is the IRR of the project? 14 15 16 Is this an acceptable project for Crescent? (Click on the icon to view Present Value of $1 table.) (Click on the icon to view Present Value of Ordinary Annuity of $1 table.) 14, What is the NPV of the project? (Enter the factor amount to three decimal places, XXXX. Round the present value of the annuity to the nearest whole dollar. Use parentheses or a minus sign for a negative net present value.) Net Cash Annuity PV Factor Present (i-20%, n- 11 ) Years Inflow Value 1-11 Present value of annuity Investment 0 Net present value 15. What is the IRR of the project? Start by calculating the Annuity PV factor. (Enter the factor amount to three decimal places, XXXX) Annuity PV factor The IRR of the project is 16. Is this an acceptable project for Crescent? than Crescent's required rate of return, than zero and the IRR is This acceptable proiect for Crescent, because the NPV is 15, What is the IRR of the project? Start by calculating the Annuity PV factor. (Enter the factor amount to three decimal places, XXXX.) Annuity PV factor Amount of cash inflow Initial investment Required rate of return ect for Crescent? Years 0 Investment 12%-14% Net present v 14% 15. What is the IRR of the 14%-15% Start by calculating the A 16%-18% 18% 18%-20% The IRR of the project is 16. Is this an acceptable project for Crescent? than Crescent's required rate of return This an acceptable project for Crescent, because the NPV is than zero and the IRR is he next question Choose from any list or enter any number in the input fields and th greater less - X Reference Present Value of $1 Periods 5% 0962 0952 0.980 0.961 0.943 0925 0.907 0890 0873 0857 0.889 1% 2% 3% 4% 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% 0.990 0.980 0.971 0935 0.926 0.917 0.909 0893 0.826 0797 0712 0675 0.636 0.567 0519 0877 0870 0862 0847 0.756 0.658 0833 0.694 0.579 0.482 0402 0.943 0.743 0718 0.641 0842 0.772 0708 0.650 0.621 0.769 0816 0794 0.971 0942 0915 0.961 0924 0840 0888 0855 0.823 0792 0.763 0735 0747 0864 0751 0.683 0.609 0.572 0552 0516 0.476 4 0592 0.951 0906 5 0863 0.822 0.784 0713 0.681 0.497 0437 0.942 0.888 0.837 0.933 0.923 0.914 0.905 0.666 0.630 0.583 0582 0,540 0.500 0.508 0463 0.896 0804 0.722 0650 0585 0.527 0475 0429 0444 0397 0.790 0813 0760 0711 0.789 0731 0.766 0.703 0744 0676 0614 0.746 0.705 0.665 0623 0.627 0.592 0544 0558 0.596 0.547 0,502 0460 0422 0.564 0.513 0.467 0.424 0.386 0507 0452 0.404 0.361 0.322 0.456 0.400 0.351 0.308 0.270 0.432 0.410 0.370 0.335 0.314 0279 0233 0.266 0225 0.194 0.191 0.162 7 0871 0853 0.837 0820 0.376 0.354 0.327 0.305 0.284 0.677 0.645 9 10 0.263 0.247 0.227 11 12 0.350 0.356 0.319 0.368 0326 0290 0229 0.299 0.388 0.287 0 257 0.237 0.215 0.208 0.187 0.182 0.163 0.141 0.123 0.195 0.162 0.168 0.137 0.145 0.116 0.125 0099 0078 0084 0.135 0.112 0.093 0788 0701 0.773 0.681 0.758 0.661 0.743 0.625 0557 0.601 0530 0469 0415 0577 0505 0442 0887 0879 0870 0.861 0.497 13 0.205 0.160 0.183 0.140 0.218 0.163 0.146 0.130 0.116 0.149 0.104 14 15 0.340 0.481 0417 0.362 0315 0.388 0.263 0.642 0555 0.275 0.239 0.108 0065 0.853 0728 0623 0534 0458 0844 0.836 0828 0.820 16 0.394 0.339 0.317 0.292 0270 0.250 0.232 0.258 0215 0.252 0.231 0212 0.194 0.178 0.123 0.108 0095 0083 0.073 0.107 0.093 0.081 0070 0.061 0093 0080 0.069 0071 0.060 0051 0.060 0043 0051 0037 0.044 0031 0026 0.054 0045 0038 0031 0.026 0513 0436 0.371 0.700 0587 0494 0416 0350 0296 0.475 17 18 0.714 0.605 0.198 0.180 0.164 0.686 0.570 0.673 0.396 0.554 0456 0.377 0312 0.331 19 0.277 20 0.660 0538 0439 0.359 0294 0242 0.199 0.164 0.278 0.064 0.053 0.056 0046 0038 21 0.811 0803 0.135 0.123 0.093 0.083 0022 0018 0.522 0422 22 0.647 0.342 0.226 0.184 0.150 Print Done LO - X iReference Present Value of Ordinary Annuity of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% 0.990 0.980 0.971 2 0.952 1.859 2.884 2.829 2775 2723 3.546 4.329 0.962 1.886 0.943 1.833 2673 3.465 4212 0.935 0.926 0917 1.808 2624 2577 2531 2487 3.387 3312 4.100 3993 3.890 3.791 3605 3433 3352 3.274 3.127 4767 4623 5.389 5.971 5747 5535 5.335 6.515 7.024 0.909 1736 0.893 0877 0.870 0862 0847 1.626 2.283 2246 2914 2855 2.798 2.690 0.833 1.528 2.106 2589 2.991 1.605 1566 2.174 1942 1913 1.970 2941 3.902 3.808 4.853 4713 4580 4452 1783 1.759 1.690 2.402 3.037 1647 2.322 3.717 3.630 3.240 3.170 5.795 5.601 5417 5.242 5.076 6.002 5.786 6.463 8.566 8.162 7.786 7.435 7.108 4486 4355 5.033 4868 3.889 3.784 3685 3.498 3326 4.160 4039 3.812 4.344 4078 4946 4772 4.607 4.303 4.917 5.582 6210 6.802 7.722 7.360 4.111 4,564 4.968 4639 4.487 6.728 6472 6230 7 5 206 4.288 3.605 3.837 4.031 4.192 7.652 7.325 7.020 8 6733 5.995 5.759 5.328 6247 6.710 6418 6.145 5650 5216 5019 4833 9471 8983 8.530 4.494 10 8.111 10.368 9.787 9.253 8.760 8.306 8.863 12.134 11.348 10.635 9.986 9.394 13.004 12.106 11.296 10.563 9899 7.499 7.139 6.805 6.495 5.938 5.453 5234 5.029 4656 7.943 7536 7.161 6814 6.194 5660 5421 5.197 4.793 8.358 8.745 9.108 11 7.887 8.384 8.853 9295 4.327 4.439 4,533 4.611 4.675 11.255 10.575 9.954 9.385 12 6424 5842 5583 5342 4910 6.002 5.724 5468 5.008 6.142 5.847 5575 5.092 6.974 6265 5954 5.669 5.162 5222 8.756 8.201 7.250 6467 6.128 5.818 5273 7.487 7.103 7.786 7.367 13 7.904 8244 8.559 8.061 7.606 14 6.628 6.811 13.865 12.849 11.938 11.118 10.380 9.712 15 14.718 13.578 12561 11.652 10.838 10.106 9447 8.851 8.313 7.824 16 4.730 4.775 4.812 4844 4.870 6.373 6.047 5749 15.562 14.292 13.166 12.166 11.274 10.477 9.763 17 9.122 8544 8.022 7.120 16.398 14.992 13.754 12659 11.690 10.828 10.059 9.372 18 17.226 15.678 14.324 13.134 12085 11.158 10.336 9604 8950 8.365 7.366|6.550 6.198 5.877 5.316 19 18.046 16.351 14.877 13.590 12462 11.470 10.594 9.818 9.129 8.514 7.469 6623 6259 5929 5.353 20 18.857 17.011 15.415 14.029 12.821 11.764 10.836 10017 9 292 8649 7.562 6687 6.312 5.973 5.384 21 4.891 4.909 19.660 17.658 15.937 14451 13.163 12042 11.061 | 10.201 9442 8.772 7.645 6.743 6.359 6.011 | 5410 22 Print Done