Question: you are analyzing a project and have this data : year : cash flow 0. : -40,000 1 : 18,675 2 : 23,900 3. :

you are analyzing a project and have this data :

year : cash flow

0. : -40,000

1 : 18,675

2 : 23,900

3. : 21,750

required rate of return = 13 % target payback = 2.0 years

point:1+ 1.5 +1.5 + 2

compute following :

a) pay back period

b) discounted pay back period

c) NPV

D) IRR OF THIS PROJECT

E) ACCEPT OR REJECT PROJECT

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