Problem 10-1

A project has an initial cost of $40,000, expected net cash inflows of $9,000 per year for 7 years, and a cost of capital of 11%. What is the projects NPV? (Hint: Begin by constructing a time line.)

Problem 10-2

Refer to Problem 10-1. What is the projects IRR?

Problem 10-3

Refer to Problem 10-1. What is the projects MIRR?

Problem 10-4

Refer to Problem 10-1. What is the projects PI?

Problem 10-5

Refer to Problem 10-1. What is the projects payback period?

Problem 10-6

Refer to Problem 10-1. What is the projects discounted payback period?

Can you please solve using the Toolkit