Q1. a)-Dala Corporation is considering a project, which will involve the following cash inflows and (out)...
Q1.
a)-Dala Corporation is considering a project, which will involve the following cash inflows and (out) flows
|
Details |
Amount |
|
Initial Outlay |
SAR (400000) |
|
After 1 Year |
SAR 40000 |
|
After 2 Years |
SAR 300000 |
|
After 3Years |
SAR 300000 |
What will be the NPV of this project if a discount rate of 15% is used?
|
Discount Rate Used |
NPV |
|
10% |
SAR 1,30,000 |
|
15% |
SAR 50,000 |
|
20% |
SAR -50,000 |
b)-Merck Inc. is about to undertake a project and has computed the NPV of the project using a variety of discount rates
What is the approximate IRR of this project?
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Q1.
a)-Dala Corporation is considering a project, which will involve
the following cash inflows and (out)...
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