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Consider the following cash flows: Cash Flows ($) C0 C1 C2 ?8,450 6,200 21,400 a. Calculate...

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Finance

Consider the following cash flows: Cash Flows ($) C0 C1 C2?8,450 6,200 21,400 a. Calculate the net present value of the aboveproject for discount rates of 0, 50, and 100%. (Do not roundintermediate calculations. Round your answers to the nearest wholedollar amount.) NPV @ 0% $ NPV @ 50% $ NPV @100% $ b. What is theIRR of the project? (Do not round intermediate calculations. Enteryour answer as a percent rounded to the nearest whole number.) IRR%

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3.6 Ratings (607 Votes)
a NPV is calculated as the sum of all present values of cash flows C0 C1 C2 8450 6200 21400 When discount rate 0 PV0 PV1 PV2 NPV 8450 6200 10 21400    See Answer
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Consider the following cash flows: Cash Flows ($) C0 C1 C2?8,450 6,200 21,400 a. Calculate the net present value of the aboveproject for discount rates of 0, 50, and 100%. (Do not roundintermediate calculations. Round your answers to the nearest wholedollar amount.) NPV @ 0% $ NPV @ 50% $ NPV @100% $ b. What is theIRR of the project? (Do not round intermediate calculations. Enteryour answer as a percent rounded to the nearest whole number.) IRR%

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