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
years01234−25 00010 50010 50010 50010 500

A project costs €25 000 today and returns €10 500 at the end of each year for 4 years. The required rate of return is 5%. Find the net present value NPV.

r = 5%CF0 = −25 000CF1 = 10 500CF2 = 10 500CF3 = 10 500CF4 = 10 500
NPV = €
2.Easy
years0123−20 00011 00011 00011 000

A project costs €20 000 today and returns €11 000 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 = −20 000CF1 = 11 000CF2 = 11 000CF3 = 11 000
NPV = €
3.Medium
years0123…9−500 00032 000+4%+4%…r = 11%, NPV = ?

A project costs €500 000 today. It generates €32 000 at the end of the first year, and the cash flow then grows by 4% per year forever. The cost of capital is 11%. Find the net present value NPV.

C0 = €500 000CF1 = €32 000g = 4%r = 11%
NPV = €
4.Medium
years01234−20 0007 00010 0007 0007 000

An investment of €20 000 gives these cash flows at the end of years 1 to 4: €7 000, €10 000, €7 000, €7 000. The cost of capital is 10%. Find the net present value NPV.

r = 10%CF0 = −20 000CF1 = 7 000CF2 = 10 000CF3 = 7 000CF4 = 7 000
NPV = €
5.Hard
years0123−50 00024 00037 00036 000

A project costs €50 000 and returns €24 000, €37 000, €36 000 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF0 = −50 000CF1 = 24 000CF2 = 37 000CF3 = 36 000
IRR = %
6.Hard
years0123−20 0009 00011 0008 000

A project costs €20 000 and returns €9 000, €11 000, €8 000 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF0 = −20 000CF1 = 9 000CF2 = 11 000CF3 = 8 000
IRR = %

Answer key

  1. 1. NPV = 12232 €
  2. 2. NPV = 9403 €
  3. 3. NPV = −42857 €
  4. 4. NPV = 4668 €
  5. 5. IRR = 38.74 %
  6. 6. IRR = 19.25 %

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