Assuming you are facing making a decision on a large capital investment proposal. the capital investment amount is $640,000, Estimated the study period is  8 years. The annual revenue at the end of each year is $180,000, and the estimated annual year-end expense is $42000starting in year  one, Assuming a market value at the end year is $ 20,000, and the benchmark rate is 10%,  Find the cash flow chart, the NPV, the dynamic payback period, and the IRR of this project.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 2PA: Jasmine Manufacturing is considering a project that will require an initial investment of $52,000...
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Assuming you are facing making a decision on a large capital investment proposal. the capital investment amount is $640,000, Estimated the study period is  8 years. The annual revenue at the end of each year is $180,000, and the estimated annual year-end expense is $42000starting in year  one, Assuming a market value at the end year is $ 20,000, and the benchmark rate is 10%, 

Find the cash flow chart, the NPV, the dynamic payback period, and the IRR of this project.

 

 

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