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
years01234? 18 00015 00010 0008 000

A machine is expected to save €18 000, €15 000, €10 000, €8 000 at the end of years 1 to 4, after which it is worthless. The required return is 12%. What is the most the company should pay for the machine today? Find PV.

r = 12%CF1 = 18 000CF2 = 15 000CF3 = 10 000CF4 = 8 000
PV = €
2.Easy
years0123−80 00045 00045 00045 000

A project costs €80 000 today and returns €45 000 at the end of each year for 3 years. The required rate of return is 6%. Find the net present value NPV.

r = 6%CF0 = −80 000CF1 = 45 000CF2 = 45 000CF3 = 45 000
NPV = €
3.Medium
years01234−20 0008 0009 0009 0007 000

An investment of €20 000 gives these cash flows at the end of years 1 to 4: €8 000, €9 000, €9 000, €7 000. The cost of capital is 7.000000000000001%. Find the net present value NPV.

r = 7.000000000000001%CF0 = −20 000CF1 = 8 000CF2 = 9 000CF3 = 9 000CF4 = 7 000
NPV = €
4.Medium
years012345−60 00013 00013 00013 00013 00028 000

A machine costs €60 000 today. It generates €13 000 at the end of each year for 5 years and can then be sold for €15 000. The cost of capital is 6%. Find the net present value NPV.

C0 = €60 000CF = €13 000S = €15 000n = 5r = 6%
NPV = €
5.Hard
years0123−10 0003 5004 5005 500

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

CF0 = −10 000CF1 = 3 500CF2 = 4 500CF3 = 5 500
IRR = %
6.Hard
years0123−20 00011 00013 00011 000

A project costs €20 000 and returns €11 000, €13 000, €11 000 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF0 = −20 000CF1 = 11 000CF2 = 13 000CF3 = 11 000
IRR = %

Answer key

  1. 1. PV = 40231 €
  2. 2. NPV = 40286 €
  3. 3. NPV = 8025 €
  4. 4. NPV = 5970 €
  5. 5. IRR = 15.35 %
  6. 6. IRR = 34.08 %

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