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How to calculate Benefit Cost Ratio by using the useful data in the attached example?Correct answer is 0.98?please show detailed formula and steps. 2009 2014
How to calculate Benefit Cost Ratio by using the useful data in the attached example?Correct answer is 0.98?please show detailed formula and steps.
2009 2014 Terainal 2010 2011 2012 2013 Value 125, 000) 25, 300 31, 170 3, 819 Total Free Cash Flov (FCF) Cunulative Free Cash Flow Veighted Average Cost of Capital Present Value Discount Rate PV Discount Rate Calculation 34, 721 34, 095 32, 766 36, 871 9.60% 9.60% 9.60% 20. 12% (1+9.6%) 2 9.60% 31.65% (1+9. 6%) "3 9.60% 44, 29% (1+9. 6%) "4 9.60% 58. 14% (1+9.6%)"5 9.60% 73. 33% (1+9.6%) 6 Net Present Value of FCF Total Cunulative NP Internal Rate of Return Benefit Cost Ratio (3, 043) 8. 70% 0. 98 Step by Step Solution
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