Question
You are the financial analyst for the Glad Its Finally Over Company. The director of capital budgeting has asked you to analyze a proposed capital
You are the financial analyst for the Glad Its Finally Over Company. The director of capital budgeting has asked you to analyze a proposed capital investment. The project has a cost of $20,000, and the cost of capital is 10 percent. The projects expected net cash flows are as follows:
Year Expected Net Cash Flow 0 ($20,000) 1 9,500 2 6,000 3 6,000 4 4,000
What is the projects discounted payback?
What is the project net present value?
What is the internal rate of return?
What is the projects modified internal rate of return?
What is the projects profitability index?
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