Present worth-future worth and equivalent annual worth

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Reference no: EM13976171

The following are cash flows:

Year 0:             -$200,000

Year 1: $85,000

Year 2:             $150,000

Year 3: $28,000

Year 4:             $48,000

Determine the following for the cash flows above assuming 8% interest compounded annually:

a) Present worth

b) Future worth

c) Equivalent annual worth

d) Also – for this cash flow diagram, compute the following:

i) IRR

ii) B/C ratio

iii) Non-discounted payback period

Reference no: EM13976171

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