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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1.Easy

A project costs €20 000 today and returns €9 000 at the end of each year for 3 years. The required rate of return is 7.000000000000001%. Find the net present value NPV.

r = 7.000000000000001%CF₀ = −20 000CF₁ = 9 000CF₂ = 9 000CF₃ = 9 000

NPV = €

2.Easy

A project costs €10 000 today and returns €3 500 at the end of each year for 5 years. The required rate of return is 12%. Find the net present value NPV.

r = 12%CF₀ = −10 000CF₁ = 3 500CF₂ = 3 500CF₃ = 3 500CF₄ = 3 500CF₅ = 3 500

NPV = €

3.Medium

A machine costs €20 000 today, lasts 8 years and costs €3 000 per year to run (paid at the end of each year). The cost of capital is 6%. Find its equivalent annual cost EAC.

C₀ = €20 000M = €3 000n = 8r = 6%

EAC = €

4.Medium

A machine costs €60 000 today, lasts 7 years and costs €5 000 per year to run (paid at the end of each year). The cost of capital is 6%. Find its equivalent annual cost EAC.

C₀ = €60 000M = €5 000n = 7r = 6%

EAC = €

5.Hard

A project costs €40 000 and returns €18 500, €19 500, €24 500 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF₀ = −40 000CF₁ = 18 500CF₂ = 19 500CF₃ = 24 500

IRR = %

6.Hard

A project costs €50 000 and returns €19 500, €29 500, €29 500 at the end of years 1 to 3. Find its internal rate of return IRR in percent.

CF₀ = −50 000CF₁ = 19 500CF₂ = 29 500CF₃ = 29 500

IRR = %

Answer key

1. NPV = 3619 €
2. NPV = 2617 €
3. EAC = 6221 €
4. EAC = 15748 €
5. IRR = 24.72 %
6. IRR = 24.48 %

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