A company has the following cash flows.

Year 0   -$588,000

Year 1     218,000

Year 2   161,000

Year 3   226,000

Year 4   205,000

All the cash flows have to be reinvested a year after they are actually listed at a reinvestment rate of 5%.

The required rate of return is 12%


Find the Net Present Value and the IRR.

Answer rating: 100% (QA)

To find the Net Present Value NPV and Internal Rate of Return IRR for the given cash flows we need t... View the full answer