Should this project be accepted

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Question - Fijisawa, Inc., is considering a major expansion of its top-selling product line and has estimated the following cash flows associated with the expansion. The initial outlay will be Rs 10,00,000, and the project will generate cash flows of Rs 2,00,000 per year for 10 years. The appropriate discount rate is 10 percent.

i. Calculate the NPV.

ii. Calculate the PI.

iii. Calculate the IRR.

iv. Should this project be accepted? Why or why not?

Reference no: EM132999775

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