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 00011 00011 00011 00011 000

A project costs €25 000 today and returns €11 000 at the end of each year for 4 years. The required rate of return is 12%. Find the net present value NPV.

r = 12%CF0 = −25 000CF1 = 11 000CF2 = 11 000CF3 = 11 000CF4 = 11 000
NPV = €
2.Easy
years012345−50 00020 00020 00020 00020 00020 000

A project costs €50 000 today and returns €20 000 at the end of each year for 5 years. The required rate of return is 9%. Find the net present value NPV.

r = 9%CF0 = −50 000CF1 = 20 000CF2 = 20 000CF3 = 20 000CF4 = 20 000CF5 = 20 000
NPV = €
3.Medium
years01234−40 00016 50017 5008 50017 500

A project costs €40 000 today and returns €16 500, €17 500, €8 500, €17 500 at the end of years 1 to 4. The cost of capital is 6%. Assume cash flows arrive evenly through each year. Find the discounted payback period DPB in years.

r = 6%CF0 = −40 000CF1 = 16 500CF2 = 17 500CF3 = 8 500CF4 = 17 500
DPB = years
4.Medium
years0123−30 00015 00012 00011 000

An investment of €30 000 gives these cash flows at the end of years 1 to 3: €15 000, €12 000, €11 000. The cost of capital is 9%. Find the net present value NPV.

r = 9%CF0 = −30 000CF1 = 15 000CF2 = 12 000CF3 = 11 000
NPV = €
5.Hard
years012−25 00017 00011 000

A project costs €25 000 and returns €17 000, €11 000 at the end of years 1 to 2. Find its internal rate of return IRR in percent.

CF0 = −25 000CF1 = 17 000CF2 = 11 000
IRR = %
6.Hard
years012345−150 00033 000+5%+5%+5%+5%r = 8%, NPV = ?

A project costs €150 000 today. Its cash flow is €33 000 at the end of year 1 and grows by 5% per year until the last cash flow at the end of year 5. The cost of capital is 8%. Find the net present value NPV.

C0 = €150 000CF1 = €33 000g = 5%n = 5r = 8%
NPV = €

Answer key

  1. 1. NPV = 8411 €
  2. 2. NPV = 27793 €
  3. 3. DPB = 3.124 years
  4. 4. NPV = 2356 €
  5. 5. IRR = 8.539 %
  6. 6. NPV = −5477 €

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