CAPITAL BUDGETING WITH FUNDING SOURCES
Health Behavior Part I: Capital Budgeting Practice Problemsa. Consider the project with the following expected cash flows:year Cash flow PV@0% PV@4% PV@8% PV@10%0 -400,000 ($400,000.00) ($400,000.00) ($400,000.00) ($400,000.00)1 100,000 $100,000.00 $96,153.85 $92,592.59 $90,909.092 120,000 $120,000.00 $110,946.75 $102,880.66 $99,173.553 850,000 $850,000.00 $755,646.90 $674,757.40 $638,617.58 NPV = $670,000.00 $562,747.50 $470,230.66 $428,700.23 IRR = 46% 40% 35% 32%DiscountRate NPV0% $670,000.002% $562,747.506% $470,230.6611% $428,700.23 00.040.080.1 Discount Rate 050000100000150000200000250000300000 NPV […]