A project which requires an investment of OMR 25,000, duration of the project is 2 years, average net cash inflows were OMR 15,00 and annual variable cost is OMR 10,000. Assuming a discount rate at 9%, evaluate the sensitivity of sales volume influencing NPV with above information. Select one: O A. 3.15% B. 5.26% O C. 7.88% D. 5.55%
A project which requires an investment of OMR 25,000, duration of the project is 2 years, average net cash inflows were OMR 15,00 and annual variable cost is OMR 10,000. Assuming a discount rate at 9%, evaluate the sensitivity of sales volume influencing NPV with above information. Select one: O A. 3.15% B. 5.26% O C. 7.88% D. 5.55%
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 16EB: Project Y cost $8,000 and will generate net cash inflows of $1,500 in year one, $2,000 in year two,...
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