Capital Budgeting using Net Present Value Method PV of Cost of Investment PV of Net Cashflow: Year 1 2 3 4 5 Net Present Value Net Income + Depreciation 791,943.47 887,316.75 973,808.74 1,070,891.54 1,179,476.15 PV Factor of 12% 0.8929 0.7972 0.7118 0.6355 0.5674 Present Value of Net Cashflow 1,460,605.14 0.00
Capital Budgeting using Net Present Value Method PV of Cost of Investment PV of Net Cashflow: Year 1 2 3 4 5 Net Present Value Net Income + Depreciation 791,943.47 887,316.75 973,808.74 1,070,891.54 1,179,476.15 PV Factor of 12% 0.8929 0.7972 0.7118 0.6355 0.5674 Present Value of Net Cashflow 1,460,605.14 0.00
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Can u solve NPV, use excel if possible
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