Principles of Corporate Finance

(Barry) #1

Nodhead Store Forecastes


YEAR
1 2 3 4 5 6
Cash flow 100 200 250 298 298 298
PV at start of
year (r = 10%)^10001000901741517271
PV at end of
year (r = 10%)^10009017415172710
Change in
value^0 -99 -160 -224 -246 -271
Economic
income^10010190745227
Rate of return
%^101010101010
Economic
depn.^099160224246271

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