A project has a NPV of 15,000 when the cutoff rate is 10%. The annual cash flows are 20,505 on an investment of 50,000. What is the profitability index?
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- A project has an investment cost of $200,000 and a profitability index of 1.6. What is the net present value of the project? NPV=What is the NPV of a project with an initial investment of $100, a cash flow in one year of $105, and a discount rate of 10 percent?A project is projected to have the following net income: Year 1 = $80,000; Year 2 = $40,000; Year 3 = –$30,000. The same project has an initial investment of $300,000 and will lose value at a rate of $100,000 per year. The numerator in the average accounting return method will be?
- A project that costs $50 million is expected to generate $20 million per year over the next 4 years. The project's cost of capital is 6%. a) Find the payback period (PP).b) Find the net present value (NPV).c) Find the internal rate of return (IRR).d) Find the modified internal rate of return (MIRR).POD has a project with the following cash flows: Year Cash Flows 0 -$ 281,000 145,500 123 163,000 128,100 The required return is 8.3 percent. What is the profitability index for this project?A project requires an initial investment of $40 million. It generates cash flows of $25 million in one year and $27 million in two years. The projects required rate of return is 8% what is the project's profitability index?
- A project requires an investment of $2,500 and has a net present value of $430. If the internal rate of return is 10%, what is the profitability index for the project? Multiple Choice 0.70 0.25 1.17 2.33A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: -$25,000 today (t=0); $11,000 after one year (t=1), 17,000 after two years (t=2); and 10,000 after three years (t=3). What is the Internal Rate of Return (“IRR”) for this project?The project NPV is 14.95. The initial investment 15m. The discount rate is 4.5% per annum. What is the Return on Capital and the Payback Period? In case you need additional information let me know.
- Firm Xy has an investment project with annual cash flows of 20,000, 18,500, 21,500, and 12,350. The discount rate is 11.55%. What is the nominal payback period if the initial cost is 31,000? what is the discounted payback period if the initial cost is $24,000?A project has an initial cost of P52,125, expected net cash inflows of P12,000 per year for 8 years, and a cost of capital of 12%. What is the project’s NPV? What is the project’s IRR? What is the project’s PI? What is the project’s payback period?What is the ERR for this project? Assume that = 12% and MARR = 20% per year. Is this project considered to be profitable? What is the simple payback period?