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The problem is already solved. I need help figuring out what to input in financial calculator to compute Discounted CF@ 12% using the five function
The problem is already solved. I need help figuring out what to input in financial calculator to compute Discounted CF@ 12% using the five function keys.
Post Submission Feedback Solution The project's discounted payback period is calculated as follows: Year Annual Discounted CF (@ Cumulative 12%) Discounted CF 0 52,125 -52,125.00 1 12,000 10,714.29 -41,410.71 2 12,000 9,566.33 - 31,844.39 3 12,000 8,541.36 -23,303.02 4 12,000 7,626.22 -15,676.81 5 12,000 6,809.12 -8,867.69 6 12,000 5,079.57 -2,788.11 7 12,000 5,428.19 2,540.08 The discounted payback period is 6 + $2,788.11/$5,428.19) years, or 6.51 years. Note: While the calculations above show values rounded to 2 decimal places, unrounded values should be used to calculate the required values. Solution Correct Response eBoo! Discounted Payback A project has an initial cost of $52, 125, expected net cash inflows of $12,000 per year for 7 years, and a cost of capital of 12%. What is the project's discounted payback period? (Hint: Begin by constructing a time line.) Do not round intermediate calculations. Round your answer to two decimal places. 6.51 yearsStep by Step Solution
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