Question
A project requires an investment of Rs. 10,00,000. It
generates annual cash inflows of Rs. 3,00,000 for 5 years. If cost of capital is 10%, should the project be accepted based on NPV? (PV factor of annuity of Rs. 1 for 5 years @10% = 3.791).Solution
PV of inflows = 3,00,000 × 3.791 = Rs. 11,37,300. NPV = 11,37,300 – 10,00,000 = Rs. 1,37,300 (Accept).
Which of the following elements should be placed in the blank spaces respectively (in the same order from left to right) in order to complete the given ...
In which of the following expressions will the expression ‘S > R’ and ‘W < T’ be definitely false?
Statements: Q = R; S ≥ T; P ≤ Q; R > V; R > S; T ≥ U
Conclusions:
(i) R > U (ii) V ≥ U (iii) P = R (iv) P < R
...Statements: R © K, K * N, N $ J, J % H
Conclusions: I.R $ N II.J @ K �...
In the question, relationship between some elements is shown in the statements (s). These statements are followed by two conclusions. Read the statemen...
Statements: H ≥ R, T < L, R ≥ T, L < N > I
Conclusion:
I. R > I
II. N ≥ T
Statement: C < X ≤ B > E < L < I
Conclusion: I. X > L II. B > C
Statements: J > A > G < N < K = V
Conclusion
I. J > K
II. V > A
...Statements: K ≥ R, M > T, M ≥ R, L = K < O
Conclusion:
I. M > K
II. O > R
Statement: C ≥ D > E < F ≥ G; D ≥ H = J
Conclusion:
I. C > H
II. C = J