Nisha sharma Asked a Question
October 22, 2021 8:43 pmpts 30 pts
Cash nftows Cash nflows OdieS Volume Estimate Selling Price ustration: Final out the Net Present value for which a project requires an initial investment of Rs. 25,000 and volves a net cash inflow of Rs. 12,000 each for 3 years. The cost of funds is 8% There is no scrap value. he present value of an annuity of Re 1 for 3 years at 8% per annum is Rs. 2.577. Solution: Calculation of Net Present Value
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  • Khushbu thankyou
    Cash outflow = 25000 (initial investment) Cash inflow= 12000 Present value of cash inflow at 8% for 3 years= 12000*2.577 = Rs 30,924 We know that Net present value= total cash inf...
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