A reputable company plans to place an investment with a private equity firm with an amount of Php 10M for 2023. Considering all the risks involved, the prevailing discount rate is 12% and with a revenue stream/dividends below: 2023 995,000.00 2024 1,380,000.00 2025 1,575,000.00 2026 1,930,000.00 2027 2,954,000.00 2028 3,408,644.00 2029 6,354,941.00 Find the NPV. Group of answer choices No choice given Php10,700,800 Php 12,570,638 Php 10,611,838 Php 9,800,338

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

A reputable company plans to place an investment with a private equity firm with an amount of Php 10M for 2023. Considering all the risks involved, the prevailing  discount rate is 12%  and with a revenue stream/dividends below:

2023                   995,000.00
2024               1,380,000.00
2025               1,575,000.00
2026               1,930,000.00
2027               2,954,000.00
2028               3,408,644.00
2029               6,354,941.00

Find the NPV.

 

Group of answer choices
No choice given
Php10,700,800
Php 12,570,638
Php 10,611,838
Php 9,800,338
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education