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An Investment Cost $12,000 with Expected Cash Flows of $4,000

Question 22

Multiple Choice

An investment cost $12,000 with expected cash flows of $4,000 for 4 years. The discount rate is 15.2382%. The NPV is ______ and the IRR is ______ for the project.


A) -$634.89; 12.60%
B) $0; 15.2382%
C) $4,000; 0%
D) Can not answer without one or the other value as input.
E) None of these.

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