Question
Discount rate : 6% Time 1 -> cash-flow -1000 Time 2 -> cash-flow 100 Time 3 -> cash-flow 200 Time 4 -> cash-flow 300 Time
Discount rate : 6%
Time 1 -> cash-flow -1000
Time 2 -> cash-flow 100
Time 3 -> cash-flow 200
Time 4 -> cash-flow 300
Time 5 -> cash-flow 300
Time 6 -> cash-flow 300
-
What is the NPV of the project at a discount rate r = 6%?
-
Do you want to invest in the project at r = 6%?
-
Would you change your mind if r = 4%?
-
What is the IRR of the project?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
The Oxford Handbook Of Private Equity
Authors: Douglas Cumming
1st Edition
0195391586, 978-0195391589
