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Prob 17-1 Find the NPV and PI of a project that co...

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Prob 17-1 Find the NPV and PI of a project that costs $1,500 and returns $800 in year one and $850 in year two. Assume the project?s cost of capital is 8 percent. PV of cash inflows PV of cash outflows NPV PI Prob 17-5 5. For the following projects, compute NPV, IRR, MIRR, profitability index, and payback. If these projects are mutually exclusive, which one(s) should be done? If they are independent, which one(s) should be undertaken? A B C D Year 0 ($1,000) ($1,500) ($500) ($2,000) Year 1 $400 $500 $100 $600 Year 2 $400 $500 $300 $800 Year 3 $400 $700 $250 $200 Year 4 $400 $200 $200 $300 Discount Rate 10% 12% 15% 8% NPV PI IRR MIRR Payback

 

Paper#11787 | Written in 18-Jul-2015

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