Years 1 2 3 4 5 6 7 8 Cash Flows (52,125.00) 12,000.00 12,000.00 12,000.00 12,00
ID: 2640151 • Letter: Y
Question
Years 1 2 3 4 5 6 7 8
Cash Flows (52,125.00) 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00
NPV Function
10-2
IRR Function
10-3
MIRR Function
10-4
PI
Present Value
Outlay
PI
Years 1 2 3 4 5 6 7 8
Cash Flows (52,125.00) 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00 12,000.00
NPV Function
10-2
IRR Function
10-3
MIRR Function
10-4
PI
Present Value
Outlay
PI
Explanation / Answer
IRR=16%
NPV (Assuming Discounted Rate 10%)
Time Horizon (Years) Cash-In Initial investment/ Net Cash Flow Cash-Out 0 -52125 -52125 1 12000 0 12000 2 12000 0 12000 3 12000 0 12000 4 12000 0 12000 5 12000 0 12000 6 12000 0 12000 7 12000 0 12000 8 12000 0 12000 Total Inflow Total Outflow Total Net Flow Total 96000 -52125 43875Related Questions
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