Question
QUESTION THREE The expected cash flows of a project are as follows; YearCash Flow 0-$100 000 120 000 230 000 340 000 450 000 530
QUESTION THREE
The expected cash flows of a project are as follows;
YearCash Flow
0-$100 000
120 000
230 000
340 000
450 000
530 000
He cost of capital is 12%.
Required: Calculate the following:
(a)Net present value
(b)Benefit-cost ratio
(c)Internal rate of return
(d)Modified internal rate of return
(e)Payback period
Discounted payback period [25 marks]
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
