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Consider the following cash flows: Year Cash Flow 0 - $27,000 1 - 11,400 2 - 16,300 3 - 9,400 Requirement 1: What is the NPV at a discount rate of

Consider the following cash flows:

Year Cash Flow

0 - $27,000

1 -  11,400

2 -  16,300 

3  -   9,400 

Requirement 1:What is the NPV at a discount rate of zero percent? (Do not round intermediate calculations.)


  Net present value$   

Requirement 2:What is the NPV at a discount rate of 10 percent? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)


  Net present value$   

Requirement 3:What is the NPV at a discount rate of 20 percent? (Do not round intermediate calculations. Negative amount should be indicated by a minus sign. Round your answer to 2 decimal places (e.g., 32.16).)


  Net present value$   

Requirement 4:What is the NPV at a discount rate of 30 percent? (Do not round intermediate calculations. Negative amount should be indicated by a minus sign. Round your answer to 2 decimal places (e.g., 32.16).)


  Net present value$ 

Top Answer

If you discount an amount at the rate of zero percent, the the answer is equal to zero. NPV is gotten by; PVCIF-PVCOF, where;... View the full answer

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