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Information on four investment proposals is given below: Investment Proposal A B C D Investment required $ (900,000) $ (170,000) $ (90,000) $ (1,430,000) Present
Information on four investment proposals is given below: |
Investment Proposal | ||||||||
A | B | C | D | |||||
Investment required | $ | (900,000) | $ | (170,000) | $ | (90,000) | $ | (1,430,000) |
Present value of cash inflows | 1,263,600 | 233,400 | 136,500 | 1,908,300 | ||||
Net present value | $ | 363,600 | $ | 63,400 | $ | 46,500 | $ | 478,300 |
Life of the project | 5 years | 7 years | 6 years | 6 years | ||||
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