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Rishi is currently considering an investment that gives a positive net present value of 10,230 at 5%. At a discount rate of 15% it has
Rishi is currently considering an investment that gives a positive net present value of 10,230 at 5%. At a discount rate of 15% it has a negative net present value of 5,540. What is the internal rate of return of this investment? 26.8% 71.8 % 11.5 % 56.5 % Calculate the payback period for an investment into the following project: EXPECTED PROJECT CASHFLOWS () Initial investment 120,000 Net cash inflows year 1 20,000 Net cash inflows year 2 40,000 Net cash inflows year 3 60,000 Net cash inflows year 4 65,000 Net cash inflows year 5 40,000 3 years 4 years 5 years 3.5 years
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