The following data is available for Project A whose initial investment is ₹80,000 and salvage value after 5 years are ₹4,500. Year | CFAT (₹) 1 | 35,000 2 | 30,000 3 | 20,000 4 | 20,000 5 | 2,500 What is the NPV of Proje

CS Executive · Financial and Strategic Management · PYQS · December 2023
The following data is available for Project A whose initial investment is ₹80,000 and salvage value after 5 years are ₹4,500. Year | CFAT (₹) 1 | 35,000 2 | 30,000 3 | 20,000 4 | 20,000 5 | 2,500 What is the NPV of Project A if the Ke of the company is 10%? Ignore taxation.
(A) ₹9,622
(B) ₹6,827.5
(C) ₹7,500
(D) ₹8,500

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Financial Management

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