Compute the NPV statistic for Project X given the following cash flows if the appropriate cost of capital is 12 percent. Project X   Time 0   1   2   3   4 Cash Flow –$ 15,000     $ 6,000     $ 10,000     $ 12,000     –$ 1,000

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter10: The Basics Of Capital Budgeting: Evaluating Cash Flows
Section10.6: Profitability Index (pi)
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Compute the NPV statistic for Project X given the following cash flows if the appropriate cost of capital is 12 percent.

Project X

 

Time 0   1   2   3   4
Cash Flow –$ 15,000     $ 6,000     $ 10,000     $ 12,000     –$ 1,000  
 
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