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I am having some difficulties finding the IRR and NPV, and the discounted payback period of...

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Finance

I am having some difficulties finding the IRR and NPV, and thediscounted payback period of a Capital project for Intel that willlast 12 yrs:

Project Cost; 10% of PPE : 4,897,600

Annual Depreciation: 387,726.67 /yr over 12 yrs

Annual EBIT: 881,568

WACC: 6.55%

Free Cash Flows (Year 1-12): 825,038.54

Answer & Explanation Solved by verified expert
4.3 Ratings (664 Votes)
The NPV of the project is calculated as follows 4897600 82503854 106551 82503854 106552 82503854 106553 82503854 106554 82503854 106555 82503854 106556 82503854 106557 82503854 106558 82503854 106559 82503854 1065510 82503854 1065511 82503854 1065512 1815507953 IRR of the project is calculated by using the below formula Lower Rate Lower Rate NPV Lower Rate NPV Higher Rate NPV x Higher Rate Lower    See Answer
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