NPV & IRR worksheet with answers

Free printable NPV & IRR worksheet: 6 problems from easy to exam level, with an answer key. Print it or save it as a PDF.

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Name: ____________________   Date: ____________

1.Easy
years0123−80 00039 00039 00039 000

A project costs €80 000 today and returns €39 000 at the end of each year for 3 years. The required rate of return is 15%. Find the net present value NPV.

r = 15%CF0 = −80 000CF1 = 39 000CF2 = 39 000CF3 = 39 000
NPV = €
2.Easy
years01234−10 0004 5004 5004 5004 500

A project costs €10 000 today and returns €4 500 at the end of each year for 4 years. The required rate of return is 9%. Find the net present value NPV.

r = 9%CF0 = −10 000CF1 = 4 500CF2 = 4 500CF3 = 4 500CF4 = 4 500
NPV = €
3.Medium
years0123456−50 00012 50012 50012 50012 50012 50012 500

A project costs €50 000 today and returns €12 500 at the end of each year for 6 years. The cost of capital is 10%. Assume cash flows arrive evenly through each year. Find the discounted payback period DPB in years.

r = 10%CF0 = −50 000CF1 = 12 500CF2 = 12 500CF3 = 12 500CF4 = 12 500CF5 = 12 500CF6 = 12 500
DPB = years
4.Medium
years01234−20 0008 0006 0009 0005 000

An investment of €20 000 gives these cash flows at the end of years 1 to 4: €8 000, €6 000, €9 000, €5 000. The cost of capital is 9%. Find the net present value NPV.

r = 9%CF0 = −20 000CF1 = 8 000CF2 = 6 000CF3 = 9 000CF4 = 5 000
NPV = €
5.Hard
years0123−10 0005 5007 0004 500

A project costs €10 000 and returns €5 500, €7 000, €4 500 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF0 = −10 000CF1 = 5 500CF2 = 7 000CF3 = 4 500
IRR = %
6.Hard
years0123−40 00018 00015 00018 000

A project costs €40 000 and returns €18 000, €15 000, €18 000 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF0 = −40 000CF1 = 18 000CF2 = 15 000CF3 = 18 000
IRR = %

Answer key

  1. 1. NPV = 9046 €
  2. 2. NPV = 4579 €
  3. 3. DPB = 5.371 years
  4. 4. NPV = 2881 €
  5. 5. IRR = 33.04 %
  6. 6. IRR = 13.22 %

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