Pg 235 - Capital Budgeting IRR and NPV calculation

CFA Level II Corporate Finance
#1

Hey All,

I am really struggling with NPV and IRR calculation on Pg 235 Book 2 Schewser - Capital Budgeting.

Can someone show me step by step in BA II calculator how they derived NPV of 13978 and IRR of 21.9 %

I am struggling big time with this…

#2

do you have a way to post the numbers here…

I do not have schweser … I can definitely try and help you with the calc.

or else send me an email at cpkrish123@gmail.com.

thanks

#3

Hey ,

Finally I realized why I wa screwing up, I did not ADD TNOCF in the terminal yr cash inflow along with CF4, hence i was getting much lower IRR and NPV. All set now.

Thanks a ton Krish !