Suppose Mehran Corporation is dealing in the Automobile industry-00461
Suppose Mehran Corporation is dealing in the Automobile industry. Based on projected costs and sales, it expects that the cash flows over the 3-year life of the project will be Rs.5, 000,000 in first year, Rs.7, 000,000 in the next year and Rs.8, 000,000 in the last year. This project would cost about Rs. 10,000,000.The net present value of the project would be __________, if discount rate is assumed to be 25%.
This multiple choice question (MCQ) is related to the book/course vu acc501 Business Finance. It can also be found in vu acc501 Mid Term - Quiz No.23.
Suppose Mehran Corporation is dealing in the Automobile industry. Based on projected costs and sales, it expects that the cash flows over the 3-year life of the project will be Rs.5, 000,000 in first year, Rs.7, 000,000 in the next year and Rs.8, 000,000 in the last year. This project would cost about Rs. 10,000,000.The net present value of the project would be __________, if discount rate is assumed to be 25%.
Rs.2, 576, 000
Rs.3, 576, 000
Rs.1, 576, 000
Rs.4, 576, 000