What is the project’s payback?Winston Clinic is evaluating a project that costs $52,125 and has expected net cash flows of $12,000 per year for eight years.

Chapter 11

PROBLEM 1

Winston Clinic is evaluating a project that costs $52,125 and has expected net cash flows of $12,000 per year for eight years. The first inflow occurs one year after the cost outflow, and the project has a cost of capital of 12 percent.

What is the project’s payback?
What is the project’s NPV? Its IRR?
Is the project financially acceptable? Explain your answer.

ANSWER


 

PLACE THIS ORDER OR A SIMILAR ORDER WITH NURSING HOMEWORK HELP TODAY AND GET AN AMAZING DISCOUNT


For orders inquiries       +1 (408) 800 3377