need help on c. Problem 12-17 The Hudson Corporation makes an investment...

90.2K

Verified Solution

Question

Accounting

need help on c. image
Problem 12-17 The Hudson Corporation makes an investment of $26,000 that provides the following cash flow: Calculate your final answer using the financial calculator method(Excel). a. What is the net present value at an 8 percent discount rate? (Do not round intermediate calculations and round your answer to 2 decimal places.) b. What is the internal rate of return? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) c. Would you make the same decision under both parts a and b? Initial investment Year 1 Year 2 Year 3 Discount rate -$26,000 Input as a negative value $12,000 $14,000 $4,000 .08 In decimal form $1,511.66 8.71%

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students