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| Topic: |
Business
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| Number of pages / Number of words: |
12 / 3201 |
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The NPV decision criteria is that, accept the project if the NPV is greater than say Zero Rands and reject if otherwise.
The firm must earn a return greater than its cost of capital. In this case the cost of capital for the three projects is 20%.
NPV Project X
|Year |Cashflows |PV Interest Factor |Present Value |
| |(R 000’s) | |(R 000’s) |
|0 |(350) |1...
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The NPV decision criteria is that, accept the project if the NPV is greater than say Zero Rands and reject if otherwise.
The firm must earn a return greater than its cost of capital. In this case the cost of capital for the three projects is 20%.
NPV Project X
|Year |Cashflows |PV Interest Factor |Present Value |
| |(R 000’s) | |(R 000’s) |
|0 |(350) |1...
Essay fragment
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