Reference no: EM132993253

You are given a 3 year project which will a projected net income of P4,000 in year P8,000 in year 2 and P12,000 in year 3. The cost of the project is P12,000 today.

@ 10% rate of return

Problem 1: What is the Payback period

Problem 2: What is the Discounted Payback Period

Problem 3: What is the sum of the discounted cash flows

Problem 4: What is the NPV of future cashflows

Problem 5: What is the average net income?

Problem 6: What is the average book value?

Problem 7: What is the accounting rate of return

Problem 8: Is this investment viable (Would it be good to invest in this Project?)