What is the payback period of a project with annual cash outflows of $4000, annual cash inflows of $4,500, and an initial investment of $15,000? 

2)   What is the net present value of the project with a $60,000 initial investment and expected net cash flows of $25,000, $30,000, and $35,000 in each of the next three years, assuming an appropriate discount rate of 9.5%?

 

3)   What is the internal rate of return for the project in question two?

 

4)   What is the profitability Index for the project in question two?

 

5)   What is the payback period for the project in question two?

Answer rating: 100% (QA)

1The payback period can be calculated by dividing the initial investment by the annual cash inflow P... View the full answer