User Account

All Pages

What discount rate will make npv of this project equals

Assignment Help Finance Basics
Reference no: EM131986868

Assuming a project having the following cash flows:

Year 0 1 2 3 4 5 6

cash flow -6000 500 -500 5000 1000 1000 1000

a. What is the NPV of this project if the discount rate is 5%?

Report the answer with 2 numbers after decimal place

b. What is the IRR of this project?

Report the answer in percentage term with 2 numbers after decimal place such as 12.43%.

c. What discount rate will make NPV of this project equals to -494.258

Reference no: EM131986868

Questions Cloud

What is one benefit of eating a lunch rich in vitamin d : What is one benefit of eating a lunch rich in Vitamin D? What can you do to ensure you are getting the daily recommended intake of Vitamin D?
Amount has the value of the firm been decreased : By what amount has the value of the firm been decreased by the expected bankruptcy costs? Assume there are no other claims on the firm.
Provide a brief explanation of your selected issue : Provide a brief explanation of your selected issue and then describe a strategy to enhance two of the following in your selected healthcare setting.
What is the value of firm to its shareholders : The firm owes its bondholders $63,000. The firm will only operate for one more year. What is the value of this firm to its shareholders?
What discount rate will make npv of this project equals : What discount rate will make NPV of this project equals to -494.258
What concepts do you plan to focus on in preparation : Post a 150-word response to the following Discussion Prompts by Day 3 in the discussion area below: How did you do on the diagnostic this week?
What is the break point of retained earnings : The firm expects to earn $150,000 in after-tax income during the coming year, and it will retain 40 percent of those earnings.
What is the minimum amount of equity : What is the minimum amount of equity that? he'll have to put up in this? transaction?
Estimate the probability that the exchange rate : Black-Scholes model, estimate the probability that the exchange rate in one year will be (a) less than or equal to $1.25, (b) between $1.25 and $1.75.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd