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Question 1 What is the NPV of this project if the required rate is 15%? Year CF 0 -$1,621 1 $863 2 $824 3 $2,119

Question 1

What is the NPV of this project if the required rate is 15%?

Year CF

0 -$1,621

1 $863

2 $824

3 $2,119

4 $702

5 $1,917

Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

Question 2

What is the NPV of this project if the required rate is 11%?

Year CF

0 -$1,118

1 $1,149

2 $711

3 $2,035

Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

Question 3

A project has an initial outlay of $13,556. The project will generate cash flows of $4,561 in Years 1-5. What is the profitability index (PI) of this project? Assume an interest rate of 7%.

Note: Enter your answer rounded off to two decimal points.

Question 4

A project has an initial outlay of $1,000. The project will generate cash flows of $400 in Years 1-3 and cash flows of $200 in Years 4-6. What is the IRR of this project?

Note: Convert your answer to percentage and round off to two decimal points. Do not enter % in the answer box. If your answer is negative, do enter the negative sign.

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