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Three parts 1 question 1) What is the discount rate at which the following cash flows have a NPV of $0? Answer in %, rounding

Three parts 1 question

1)

What is the discount rate at which the following cash flows have a NPV of $0? Answer in %, rounding to 2 decimals.

Year 0 cash flow =-117,000

Year 1 cash flow =45,0/0

Year 2 cash flow =41,000

Year 3 cash flow =39,000

Year 4 cash flow =43,000

Year 5 cash flow =32,000

Year 6 cash flow =33.000

Answer:

What is the discount rate at which the following cash flows have a NPV of 0? Answer in %, rounding to 2 decimals.

Year 0 cash flow =-127,000

Year 1 cash flow =45,000

Year 2 cash flow =28,000

Year 3 cash flow =31,000

Year 4 cash flow =38,000

Year 5 cash flow =38.000

Year 6 cash flow =37.000

Answer:

What is the discounted payback period on Versace's proposed investment in a new line of fashion clothes? The expected cash flows appear below. Note that year and year 1 cash flows are negative. (Answer in years; round to 2 decimals)

Year 0 cash flow =-94,000

Year 1 cash flow =-26,000

Year 2 cash flow =35,000

Year 3 cash flow = 49000

Year 4 cash flow =52,000

Year 5 cash flow =51.000

Year 6 cash flow =47.000

Required rate of return = 13%

Answer :

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