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Problem 12-17 (Algo) Net present value and internal rate of return methods [LO12-4] The Hudson Corporation makes an investment of $62,660 that provides the
Problem 12-17 (Algo) Net present value and internal rate of return methods [LO12-4] The Hudson Corporation makes an investment of $62,660 that provides the following cash flow. Year 1 2 3 Cash Flow $ 30,000 30,000 18,000 Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods. a. What is the net present value at a discount rate of 7 percent? Note: Do not round intermediate calculations and round your answer to 2 decimal places. Answer is complete but not entirely correct. Net present value 7,286 47( b. What is the internal rate of return? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Answer is complete but not entirely correct. Internal rate of return 0.00% Appendix B Peet vale of 51, PV PV-1/0- Percent Period 196 25 4 1 31 5% 616 1796 0990 0.980 0971 0962 0.952 0.943 0933 0926 0.917 2 3 0950 0.951 0.943 0925 0907 0.890 0373 0357 0971 0.942 0915 0319 0.64 0.840 0.816 0794 4 B 6 T 9 0933 0107 0075 0050 0.055 0017 0.0060056 0037 0025 0.012 104 11% 1256 1594 10% 1796 1599 13% 14% 1916 2096 2516 3094 35% 40 50% 0909 0901 0093 0655 0377 0870 0862 0355 0347 0340 0833 0300 0.769 0.741 0.714 0.667 0342 0326 0812 0797 0783 0.769 0756 0743 0731 0.71 0.706 0.694 0.640 0.592 0549 0310 0444 0772 0.751 0731 0.712 0693 0675 0658 0641 0.624 0609 0.593 0529 0312 0.455 0.406 0.364 0296 0.951 0.924 085 0155 0823 0.792 0.763 0.735 0705 0.681 0659 0.636 0.613 0.592 0.372 0.352 0.334 0.515 0499 0412 0410 0.350 0301 0.260 0.195 0951 0906 0.063 0822 0.754 0747 0713 0681 0650 0.621 0.593 0.567 0.543 0.519 0497 0476 0.456 0.437 0419 0.402 0.328 0.269 0223 0180 0132 0942 031 0337 0.790 0.746 0705 0.666 0630 0.596 0564 0.535 0507 0450 0456 0432 0410 0390 0370 0352 0335 0.262 0207 0165 0133 0088 0271 0413 0760 0.711 0665 0.623 0583 0.547 0.513 0482 0452 0.425 0400 0376 0.354 0333 0314 0296 0279 0210 0159 0.122 00950059 0.925 0833 0.789 0731 0.677 0627 0382 0340 0302 0.467 0.434 0405 0376 0351 0327 0.305 0.255 0.266 0.249 0233 0168 0123 0091 0065 0039 0914 0137 0.766 0703 0645 0.392 0.544 0.500 0.460 0.424 0.391 0361 0333 0.308 0284 0.263 0243 0225 0209 0.194 0134 0.094 0.067 0.043 0.036 0905 0320 0.744 0676 0.614 0558 0.108 0.463 0422 0356 0352 0322 0295 0.270 0247 0227 0208 0191 0176 0162 0106 0304 0.722 0450 0385 0527 0475 0429 0385 0.350 0317 0287 0261 0237 0215 0.195 0178 0162 0148 0135 0317 0.75 0.701 0625 0.557 0497 0444 0397 0356 0310 0236 0257 0231 0208 0187 0.168 0152 0137 0124 0.112 0.069 0.043 0027 0.018 0.008 0379 0.773 0.651 0.601 0530 0469 0415 036 0326 0290 0258 0229 0204 0182 0163 0.145 0130 0116 0104 0.093 0.055 0.033 0.020 0.013 0.005 0870 0.75 0.561 0577 0505 0442 0308 0340 0.299 0.263 0232 0205 0.181 0.160 0141 0.125 0111 0.099 0.088 0.078 0044 0025 0015 0.009 0.003 0.161 074) 0.642 0.555 0431 0417 0362 0.315 0275 0239 0.209 0163 0.160 0140 0123 0.108 0095 0.054 0074 0065 0035 0.020 00110006 0.002 0353 0.728 0.625 0.534 0438 0.394 0339 0292 0252 0218 0.155 0.163 0.141 0123 0107 0.093 0.081 0.071 0.062 0.054 0028 0015 0.00% 0.005 0.002 0270 0231 0.395 0.170 146 0125 0100 0093 0080 0069 0060 0.052 0.043 0023 0012 0.0060030001 0336 0.700 0387 0494 0416 0330 0296 0250 0212 0180 0153 0130 01110095 0.069 0.059 0.051 0044 0038 0018 0.009 0.005 0002 0.001 0128 0.656 0570 0475 0396 0331 0.277 0232 0.194 0.164 0.138 116 0095 0.083 0060 0051 0043 0.037 0031 0014 0.007 0.003 0.002 0320 0.673 0.554 0.456 0377 0312 0258 0.215 0175 0.149 0.124 0104 0007 0073 0061 0.051 0.043 0.037 0.031 0.026 0012 0.005 0.002 0.001 0.780 0.610 0478 0375 0295 0233 0184 0.145 0116 0.092 0.074 0.059 0.047 0038 0030 0024 0.020 0016 0013 0010 0004 0.001 0.001 0742 0.552 0412 0308 0231 0174 0131 0.099 0.075 0.057 0044 0033 0026 0020 0015 0012 0.009 0.007 0.005 0.0040001 0.672 0.4530307 0208 0142 0097 0067 0.046 0032 0022 0015 0011 0.008 0.0050004 0003 0.0020001 0.001 0.001 0 0600 0372 0228 0141 0.087 0054 0034 0.021 0.013 0.009 0.005 0003 0002 000100010001 0 10 11 12 13 14 15 16 17 0344 0.714 0805 05130436 0371 0317 15 19 20 25 30 40 0 0051 0.070 0 0 0 0 O 0 0 0 0 0 0 0 Appendix D -41-0-0 Fre 2531 35% 4956 5096 9% 10% 13% 14% 15% 16% 3796 13% 19% 2016 29% 0900 901 0895 0885 0837 0370 0042 055 0347 004008130300 07741 0714 066 176 1713 1605 | 1668 1847 1626 1005 85 1366 1547 328 1440 1361 1209 1234 1111 2487 244 2402 2361 2.322 223 224 2210 2104 2140 2106 1912 1816 Lele 13091407 $240 170 1303 3037 2.974 2914 2855 2798 2143 2600 2699 2589 2.3 2.166 1997 149 L805 189037911696 3.625 3317 3433 3352 3214 3.199 3058 2991 2689 2416 2.220 2035 1717 1824 44564335 4231 41113998893784 163 139 340 3410 1326 2951 2600 235 2348 5033368712 4354 4425 428 4360 039 3922 3812 3.706 3805 3141 2002 2300 3361 E 5355 5335 5346 498 479 4619 4467 4344 4207 4075 3954 3837 3329 1925 5995 5.759 5517 5328 $132 4946 4772 4607 4.431 4303 4163 4.051 33 3019 2665 1379 | LHE 641 6145 5859 5650 5426 5216 5.019 4411 4659 4494 4.339 4192 3371 3092 2715 2414 15 48056495 6207 5938 568754 5214 5029 4336 4656 4416 4327 3454 1977 3347 2752 2.418 7336 7.141 814 6492 614 59185660 3421 5397 498 479 461 409 3.725 3190 2779 2456 195 7304 Pried 1% 2% 3% 474 3% 6% T 0990 0950 M 3 1970 1942 19 1886 0952 1359 . 2941 2314 2829 4 902 30 4 5795 ' 7652 9 10 11 10368 T 253 12 11255 10328 9954 345 EMI 13 12:134 11348 30635 14 11004 12 106 31296 15 1865 129 31908 1 14718 13.378 13.561 275 27 2673 3430 3546 3365 3387 3312 4715 4100 4452 4329 4212 4100 1993 5401 3417 5300 5976 4917 4767 4623 6472 200 6000 3746 5382 5.388 1306 7329 1000 6733 641 6210 5971 566 $362 7716 7435 7308 6302 9A7E 93 8330 7.322 7360 7024 760 306 1499 7339 1384 7943 1.453 338 9295 8345 9712 9306 9447 796 35 0935 0326 1.308 1783 2624 2.377 0917 175 3147 6247 710 954 9394 10.561 9399 1110 180 11652 | 30.838 | 10106 17 15.562 14.292 13.36 12166 11274 10.477 9703 15 1639 15 17226 20 18046 25 14992 13754 1265911690 10828 10000 15 678 14324 | 13134 | 120601 11158 | 10.336 16351 14377 333993246 147 15594 22.023 1952 17421 1522 14094 12.783 9122 9372 9.604 8950 361 9129 30 25.806 22.39619400 1729115372 13/7765 32 409 11.454 10 675 11:29 40 50 6244 7706 7367 6952 6628 630260025724 148 5229 1005 802 4421 382 3209 2814 24 199 $359 8061 7608 7191 68116462 6142 5547 5375 3324 5092 476 4875 3819 3348 2825 12454 | 1995 6351 8313 7324 7379 6914 6604 6205 1954 55 5401 5362 4938 4730 3307 3201 2834 2489 1997 344 022 7.549 7130 6.729 6.373 6047 3749 347 3222 4965 4725 3910 3295 2340 492 199 $756 20 7702 7250 440 6467 6128 1818 5334 1273 501 4832 7819 7.306 935 4550198 5877 5384 3316 5010 4343 3942 3311 2848 2406 199 514 7.963 7455 7825 6625 6.259 5929 5628 5353 5301 | 4370 | 1954 | 3316 2330 2ART 82 9073 8412 7543 7330 6873 6464 6097 5.766 467 2356 2499 2000 10274 9437 694 055 7496 7001 6566 6177 529 5347 525 4979 3995312 217 2300 2000 5871 3348 3238 4997 1999 3333 2817 2.300 2000 30196 31424 25.730 21497256 15.762 13:30 12.233 10942 9915 9042 8304 7673 7.131 6661 6340 5000 5554 5362 4099 40003333 15 2.300 3000
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