Cash flows over the four-year life of the investment

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Reference no: EM13803348

An investment has an installed cost of $532, 800. The cash flows over the four-year life of the investment are projected to be $216,850, $233,450, $200,110, and $148, 820.

1. If the discount rate is zero, what is the NPV? A) $266, 430

2. If the discount rate is infinite, what is the NPV? A)?

3. At what discount rate is the NPV just equal to zero? A) 19.74%

Reference no: EM13803348

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