1. You are considering a project with an initial cash outlay of $100,000 and expected free cash flows of $31,175 at the end of each year for 5 years. Given a required rate of return of 11% for the project, what is the projects NPV?

   		$10,876.91
   		$13,758.96
   		$14,586.23
   		$15,219.59

4.4 points

QUESTION 4

1. Calculate the PI given the follow free cash flows if the appropriate rate of return is 12%.

   Year	Cash Flows
   0	-55,000
   1	10,000
   2	10,000
   3	10,000
   4	10,000
   5	10,000
   6	10,000

   		.6582
   		.7475
   		.7919
   		.8156