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 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 9%. Find the net present value NPV.

r = 9%CF0 = −80 000CF1 = 45 000CF2 = 45 000CF3 = 45 000
NPV = €
2.Easy
years01234−50 00017 00017 00017 00017 000

A project costs €50 000 today and returns €17 000 at the end of each year for 4 years. The required rate of return is 7.000000000000001%. Find the net present value NPV.

r = 7.000000000000001%CF0 = −50 000CF1 = 17 000CF2 = 17 000CF3 = 17 000CF4 = 17 000
NPV = €
3.Medium
years012345−40 00015 50015 00012 00016 50010 500

A project costs €40 000 today and returns €15 500, €15 000, €12 000, €16 500, €10 500 at the end of years 1 to 5. The cost of capital is 12%. Assume cash flows arrive evenly through each year. Find the discounted payback period DPB in years.

r = 12%CF0 = −40 000CF1 = 15 500CF2 = 15 000CF3 = 12 000CF4 = 16 500CF5 = 10 500
DPB = years
4.Medium
years0123−30 0007 00010 0009 000

An investment of €30 000 gives these cash flows at the end of years 1 to 3: €7 000, €10 000, €9 000. The cost of capital is 6%. Find the net present value NPV.

r = 6%CF0 = −30 000CF1 = 7 000CF2 = 10 000CF3 = 9 000
NPV = €
5.Hard
years012−50 00028 00029 000

A project costs €50 000 and returns €28 000, €29 000 at the end of years 1 to 2. Find its internal rate of return IRR in percent.

CF0 = −50 000CF1 = 28 000CF2 = 29 000
IRR = %
6.Hard
years012−10 0007 0006 500

A project costs €10 000 and returns €7 000, €6 500 at the end of years 1 to 2. Find its internal rate of return IRR in percent.

CF0 = −10 000CF1 = 7 000CF2 = 6 500
IRR = %

Answer key

  1. 1. NPV = 33908 €
  2. 2. NPV = 7583 €
  3. 3. DPB = 3.54 years
  4. 4. NPV = −6940 €
  5. 5. IRR = 9.142 %
  6. 6. IRR = 22.89 %

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