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Project H Cash Flows Year Cash Flow 0 -$10,000 1 $2,500 2 $2,700 3 $3,000 4 $3,200 5 $3,500 Using a discount rate of 10%:
Project H Cash Flows
Year | Cash Flow |
0 | -$10,000 |
1 | $2,500 |
2 | $2,700 |
3 | $3,000 |
4 | $3,200 |
5 | $3,500 |
Using a discount rate of 10%:
- Calculate the net present value (NPV).
- Determine the internal rate of return (IRR).
- Compute the payback period.
- Calculate the profitability index (PI).
- Should the project be accepted?
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