Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The following cash flows are given for a project C0 = -9000 C1= +9000 C2= +18000 The NPV of the project at a discount rate
The following cash flows are given for a project
C0 = -9000 C1= +9000 C2= +18000
The NPV of the project at a discount rate of 50% is:
A.) 18,000 B.) 5,000 C.) 11,000 D.) zero or E.) none of these
The IRR for this project is:
A.) 10% B.) 25% C.) 50% D.) 100% or E.) none of these
The payback period for this project is:
A.) zero years B.) one year C.) two years D.) three years or E.) none of these.
So Im pretty sure the NPV is B.) 5,000 and the IRR is D.) 100% but I cannot figure out the payback period can someone please help.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started