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Calculating NPV, IRR and MIRR of given project

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Project A has a WACC of 10% and the following cash flows:

Project A
Year Cash Flow
0 -$300
1 100
2 150
3 200
4 50

2. What is Project A's NPV?
a. $ 21.32
b. $ 66.26
c. $ 83.00
d. $ 99.29
e. $112.31

3. What is Project A's IRR?
a. 13.44%
b. 16.16%
c. 18.92%
d. 24.79%
e. 26.54%

4. What is Project A's MIRR?
a. 7.40%
b. 12.15%
c. 14.49%
d. 15.54%
e. 18.15%.

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Solution Summary

Solution describes the steps to calculate NPV, IRR and MIRR of given project.

Solution Preview

Please refer attached file for better clarity of formulas in Ms Excel.

Solution:

Project's NPV?
Year End(n) Cash flow (C) PV=C/(1+10^)^n
0 -300 -300.00
1 100 90.91
2 150 123.97
3 ...

Solution provided by:
Lokesh Jain, MSc
Education
  • BEng (Hons) , Birla Institute of Technology and Science, India
  • MSc (Hons) , Birla Institute of Technology and Science, India
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