IDNLearn.com provides a collaborative platform for sharing and gaining knowledge. Get comprehensive answers to all your questions from our network of experienced experts.
NPV and IRR:
Equal Annual Net Cash Inflows
Apache Junction Company is evaluating a capital expenditure proposal that requires an initial investment of $13,257, has predicted cash inflows of $3,000 per year for 18 years, and has no salvage value.
(a) Using a discount rate of 16 percent, determine the net present value of the investment proposal. (Round to the nearest whole number.)
$ Answer 1
(b) Determine the proposal's internal rate of return. Round answer to the nearest whole percentage (for example, 0.34555 = 35%).
Answer 2
%
(c) What discount rate would produce a net present value of zero? Round answer to the nearest whole percentage (for example, 0.34555 = 35%).
Answer 3
%
Sagot :
We appreciate your contributions to this forum. Don't forget to check back for the latest answers. Keep asking, answering, and sharing useful information. Thank you for choosing IDNLearn.com. We’re here to provide reliable answers, so please visit us again for more solutions.
