Question: Use the information provided below to answer questions 23 to 25. The projected annual net cash flows associated with an investment opportunity are shown below


Use the information provided below to answer questions 23 to 25. The projected annual net cash flows associated with an investment opportunity are shown below in Table 4 . The expected rate of retum on the investment is 12%. Table 4: Annual net cash flows of the ifvestment opportunity. Question 23 (4 marks) Determine the missing values represented by K,L,M, and N in Table 4. A K=0.8929;L=R267870;M=0.7118 and N=R284720 B K=0.9009;L=R198198;M=0.7312 and N=R219360 C K=0.9174;L=R201828;M=0.7722 and N=R284800 D K=0.8929;L=R267870;M=0.7722 and N=R284800 Question 24 (4 marks) Calculate the total present value of the net cash flows of the ifvestment opportunity. A R989028 B R1 190575 C R1088 510 D R1 199290 If the Net Present Value of the investment opportunity is an unfavourable R99 290 , what is the initial outlay? A R1298580 B R1 200000 C R1 100000 D R1 186000
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