Ch_04_NPV_General_Discnt

Ch_04_NPV_General_Discnt - Net Present Value $17.42 NPV U...

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Nominal and Real Rate (in thousands of $) 0 Inputs Period 0 1 2 3 4 5 Inflation Rate 3.0% 2.8% 2.5% 2.2% 2.0% Real Discount Rate 4.854% 4.669% 4.683% 4.697% 4.902% Outputs Period 0 1 2 3 4 5 Nominal Discount Rate 8.0% 7.6% 7.3% 7.0% 7.0% Net Present Value using a Time Line Period 0 1 2 3 4 5 Cash Flows ($100.00) $21.00 $34.00 $40.00 $33.00 $17.00 Cumulative Discount Factor 0.0% 8.0% 16.2% 24.7% 33.4% 42.8% Present Value of Each Cash Flow ($100.00) $19.44 $29.26 $32.08 $24.73 $11.91
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Unformatted text preview: Net Present Value $17.42 NPV U SING G ENERAL D ISCOUNTING-121-114-107-100-93-86-79-72-65-58-51-44-37-30-23-16-9-2 5 ($120.00) ($100.00) ($80.00) ($60.00) ($40.00) ($20.00) $0.00 $20.00 $40.00 $60.00 NPV Using General Discounting Cash F Presen of Each Flow Period es Add to All Periods 0.0% 2 2 2 2 2 0.0% 4 4 4 4 4 10 2 3 4 3 1 lows t Value h Cash 5 5...
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This note was uploaded on 09/08/2010 for the course BUS 173A at San Jose State University .

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Ch_04_NPV_General_Discnt - Net Present Value $17.42 NPV U...

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