Given the following information, calculate the NPV for this property. Initial cash outflow: $200,000, Discount rate: 15%, CF for year 1: $25,876, CF for year 2: $23,998, CF for year 3: $23,013, CF for year 4: $22,105, CF for year 5: $144,670.
A) -$51,875
B) -$59,657
C) $140,343
D) $295,951

Question

Quizplus · Accepted Answer

The NPV is calculated by discounting each cash flow to its present value and summing them up, then subtracting the initial investment. The NPV calculation results in approximately -$59,657.

Given the Following Information, Calculate the NPV for This Property