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HOW TO FIND NET PRESENT VALUE? Year Cashflow PV factor @ 11% Discounted CF 0 initial cash outflow -880,000 1 -880000 1 annual CF 55,500
HOW TO FIND NET PRESENT VALUE?
Year | Cashflow | PV factor @ 11% | Discounted CF | |
0 | initial cash outflow | -880,000 | 1 | -880000 |
1 | annual CF | 55,500 | 0.900901 | 50000 |
2 | annual CF | 73,630 | 0.811622 | 59759.76 |
3 | annual CF | 66510 | 0.731191 | 48631.54 |
4 | annual CF | 65635 | 0.658731 | 43235.81 |
5 | annual CF | 73779.9 | 0.593451 | 43784.78 |
6 | annual CF | 76928.29 | 0.534641 | 41129.01 |
7 | annual CF | 81233.32 | 0.481658 | 39126.71 |
7 | terminal cash flow | 1679999 | 0.481658 | 804369.5 |
NPV | ??? |
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