question archive Monson company is considering three investment opportunities with cash flow as describe below:PROJECT A: Cash investment now 15,000 Cash inflow at the end of 5years 21,000 Cash inflow at the end of 8years
Monson company is considering three investment opportunities with cash flow as describe below:PROJECT A: Cash investment now 15,000 Cash inflow at the end of 5years 21,000 Cash inflow at the end of 8years
Subject:AccountingPrice: Bought3
Monson company is considering three investment opportunities with cash flow as describe below:PROJECT A:
Cash investment now 15,000
Cash inflow at the end of 5years 21,000
Cash inflow at the end of 8years. 21,000
PROJECT B:
Cash investment now. 11,000
Annual cash outflow for 5years. 3,000
Additional cash inflow at the end of 5years. 21,000
PROJECT C:
Cash investment now. 21,000
Annual cash inflow for 4years. 11,000
Cash outflow at the end of 3 years. 5,000
Additional cash inflow at the end of 4years. 15,000
Required;
Can you compute the net present value of each project assuming Monson Company uses a 12% discount rate? Can you please state your comment in the answer?
