Question

Table 1 Year 0 1 2 3 Cash Flow -30,000 13,000 9,000 16,500 Use Table 1...

Table 1

Year

0

1

2

3

Cash Flow

-30,000

13,000

9,000

16,500

Use Table 1 to answer questions 1-5.

1. What is the IRR?

2. What is the NPV? Assume cost of capital of 8%.
3. What is the Profitability Index?
4. What is the discounted payback period?

5. Invest or do not invest?

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