Lion Enterprises Inc.is evaluating 3 investment alternatives.Each alternative requires a cash outflow of $102,000.The cash inflows are summarized below (ignore taxes):
The company has a required rate of return of 9%.Required:
Evaluate and rank each alternative using net present value (NPV).

Question

Lion Enterprises Inc.is evaluating 3 investment alternatives.Each alternative requires a cash outflow of $102,000.The cash inflows are summarized below (ignore taxes):
  The company has a required rate of return of 9%.Required:
Evaluate and rank each alternative using net present value (NPV).

Quizplus · Accepted Answer

The Answer of Lion Enterprises Inc.is evaluating 3 investment alternatives.Each alternative requires a cash outflow of $102,000.The cash inflows are summarized below (ignore taxes):
  The company has a required rate of return of 9%.Required:
Evaluate and rank each alternative using net present value (NPV).