P9-11 Calculating NPV [LO1]

For the following set of cash flows,

Year

Cash Flow

0

$7,000

1

6,900

2

5,200

3

5,500

Required:
(a)	What is the NPV at a discount rate of 0 percent?

(b)	What is the NPV at a discount rate of 13 percent?

(c)	What is the NPV at a discount rate of 20 percent?

(d)	What is the NPV at a discount rate of 25 percent?