Example: Calculating IRR and NPV of an Investment. An investor makes an initial investment of $80,000, and expects returns over the next five years as illustrated below.
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$ _ 80,000 (Initial flow)
Calculate the total of the cash flows and the internal rate of return of the investment. In addition, calculate the net present value and net future value, assuming an annual interest rate of 10.5%.
Start the problem with an empty
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102 7: Cash Flow Calculations
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