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Determine the npv at risk free rate

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Reference no: EM133002099

An investment project requires initial cost of shs 50,000,000 and it is expected to generate cash flows in years one through four of shs 25,000,000, shs 20,000,000, shs 10,000,000 and shs 10,000,000.

i) Determine the NPV at 10% risk free rate

ii) Assuming that the project is risky, what will be the NPV if a rate of 15% is required to allow for the perceived risk? Comment on your results

Reference no: EM133002099

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