Determine the payback period for 4 years worth of cash flows, including an initial investment at year 0.
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How can the payback period of an investment project be calculated, given the cash inflows and the initial cost of the project, and how does the payback period change as the initial cost of the project varies?
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Calculate the payback for projects A and B, both international investment projects, and determine which project, if any should be accepted by the company.
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Determine the average accounting return given an installation cost and four years’ worth of projected net income.
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Given 3 years worth of cash flows, you are asked to determine the IRR of the project. Then, once given a required return in the second part of the problem, you are asked to determine whether the firm should accept or reject the project.
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Given three years of cash flows, you are asked to determine the NPV of the project twice given two different required returns.
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Determine the NPV of the project at two different required returns, and then for part c, determine the discount rate where you would be indifferent between accepting the project.
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You are given three years of cash flows and are asked to determine the IRR of the cash flows.
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Given a table with three years’ worth of cash flows, determine the NPV at 0% and the NPV at three more interest rates they give you.
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Determine the IRR of projects A and B, then calculate the NPV of each project. Evaluate the range of discount rates whereby A is preferred and the range of discount rates whereby B is preferred. Finally, find the discount rate where you would be indifferent between the two projects.
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