Investment Decision Rules - Using the NPV Rule
4 important questions on Investment Decision Rules - Using the NPV Rule
How do you calculate the NPV in the following situation:
Investment now of x million
From next year on a cash inflow of y for n years, cost of capital is r.
What is a NPV profile?
Why is the difference between IRR and estimated cost of capital important when the estimation of cost of capital is unsure?
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When the NPV Decision Rule and another decision rule contradict, which rule has to overrule?
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