Please help me with this question on Net Present Value!!?

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josephine y

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The manager must decide which new product lines to introduce in the following year. After tax, cash flows & the initial investments are shown below. All projects are independent. The manager's financial adviser estimates that interest rates will be in the range 5.5% to 9.5% p.a & the company targets projects with higher returns.

Project A
Investment - 12000, Year 1 - 6000, Year 2 - 4000,
Year 3 - 4000, Year 4 - 4500, Year 5 - 5000

Project B
Investment - 7500, Year 1 - 3000, Year 2 - 3000,
Year 3 - 2500, Year 4 - 2500, Year 5 - 1000

Project C
Investment - 10000, Year 1 - 4000, Year 2 - 5000,
Year 3 - 5000, Year 4 - 2500, Year 5 - 1500

Calculate the respective Net Present Values. Which project should be chosen?

Thanks.
 
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