Problemthe initial investment in the project is 45000 and, Ask an Expert

Accounting

Problem:

The initial investment in the project is $45,000 and the firms cost of capital is 12%. The expected annual cash inflow for five years is $23,000.

Question 1: Calculate the Net present Value of this proposal

Question 2: Calculate the Interanl Rate of Retuen of ths proposal

Question 3: Should you except this proposal?

Note: Please explain comprehensively and give step by step solution.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91171367

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