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Question 2 (30 points): A discount rate of 5% is applied to the cash flow below: | | | | | | | Year CF

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Question 2 (30 points): A discount rate of 5% is applied to the cash flow below: | | | | | | | Year CF 0 -3,000 1 850 2 900 3 950 4 950 5 950 6 1,100 7 1,150 8 1,200 9 1,250 10 1,300 a) Calculate present value of the cash flow (DCF) b) Calculate NPV c) Calculate an equivalent uniform series of equal payments at the end of each year that yields same NPV d) Calculate IRR

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