Question
Which of the following statements is true for a project with $20,000 initial cost, cash inflows of $5,800 per year for 6 years, and a
Which of the following statements is true for a project with $20,000 initial cost, cash inflows of $5,800 per year for 6 years, and a discount rate of 15%?
a. Its payback period is roughly 3 1/2 years
b. Its NPV is $2,1984
c.Its IRR is 1.85%
d. Its profitability index is 0.109
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Financial Management Principles And Applications
Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.
10th Edition
0131450654, 9780131450653
