Corporate Fin Mgt NDLM.PDF

Group Work: 8.1. After the preliminary presentation on the Basics of Commercial Accounting and Balance Sheets, distribute Read ...

LEARNING UNIT - II “Discounted Cash Flow Technique and Internal Rate of Return” [ Group Activities ] Administrative Training Ins ...

Learning Unit – 2 Group Activity Discounted cash flow Technique and Internal Rate of Return This exercise will also be conducte ...

The estimated returns Machine A are as follows. First year Rs.0.50 Lakhs Second year Rs.0.50 Lakhs Third year Rs.0.60 Lakhs Fort ...

Year Earning Cost Net Cash Flow 1. Rs.6000 Rs.2000 Rs.4000 2. Rs.7000 Rs.2000 Rs.5000 3. Rs.8000 Rs.2000 Rs.6000 4. Rs.8500 Rs.2 ...

LEARNING UNIT - II “Discounted Cash Flow Technique and Internal Rate of Return” [ Reading Material ] Administrative Training Ins ...

Learning Unit 2 Reading Material Discounted Cash Flow Technique The objective of the application of DCFT is to enable the inves ...

r stands for interest rate, n stands for number of years. In other words, Compound Interest formula will help us to find Future ...

1.10. SPPWF stands for the Single Payment Present worth Factor and USPWF stands for the Uniform Series of Present Worth Factors. ...

1.19. If we use SPPWF table from 1st to 10th year and 15 % Discount Factor, it will appear as: I Year 0.8696 II Year 0.756 1 III ...

Cost of equipment B is Rs.18,00,000, and Cost of equipment C is Rs.17,00,000 1.24. All the equipment will serve a common purpo ...

Equipment B : Present value of estimated cash outflow is: 18, 00,000 + (12,000 X 0.8333) + (13,000 X 0.6944) + (14,000 X 0.5787) ...

2.1. The point, at which the discount factor shows the NPV as zero, is nothing but IRR. In other words IRR exists at the point w ...

Year Net Cash Flow D. F at 10% NPV at 10% D.F. at 12% NPV at 12% I II III IV V VI 1 2000 0.910 1820 0.893 1786 2 2500 0.827 2068 ...

Graphic presentation. 5.1. Graphically, the situation can be represented as follows. In the graph given below, the curve cuts ...

TABLE A PRESENT VALUE OF RE.1/- (SPPWF) n/r 1.0% 2.0% 3.0% 4.0% 5.0% 6% 7% 8% 9% 10% 11% 12% 13% 1 .9901 .9804 .9709 .9615 .9524 ...

n/r 16% 18% 20% 22% 24% 26% 28% 30% 32% 34% 36% 38% 40% 45% 50% 1 .8621 .8475 .8333 .8197 .8065 .7937 .7831 .7692 .7576 .7463 .7 ...

TABLE B PRESENT VALUE OF RE.1/- RECEIVED PER PERIOD (USPWF)^ n/r 1.0% 2.0% 3.0% 4.0% 5.0% 6% 7% 8% 9% 10% 1 0.9901 0.9804 0.9709 ...

30 25.8077 22.3965 19.6004 17.2920 15.3724 13.7648 12.4090 11.2578 10.2737 9.4269 31 26. 5423 22.9377 20.0004 17.5885 15.5928 13 ...

n/r 16% 18% 20% 22% 24% 26% 28% 30% 32% 34% 36% 1 0.8621 0.8475 0. 8333 0.8197 0.8065 0.7937 0.7813 0.7692 0.7576 0.7463 0.7353 ...