Question

A project has the following cash flows: Year Cash Flow 0 $ 68,500 1 –44,500 2...

A project has the following cash flows: Year Cash Flow 0 $ 68,500 1 –44,500 2 –31,200 what is the net present value of this project if the required rate of return is 4 percent? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Homework Answers

Answer #1
Particulars Year Cash flow PVF @ 4% PV
Cash flow 0 68500               1.00    68,500.00
Cash flow 1 -44500               0.96 (42,788.46)
Cash flow 2 -31200               0.92 (28,846.15)
Net Present Value    (3,134.62)
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