150

Chart Title
120
100

59.1145664615
50

0Situation 1 7.1074380165Time CASH FLOWS

0% 5% 10% 15% 20% 25% 30%
-37.6904742336
0 -540
-50 1 220
-76.5740740741
2 220
-100
3 -110.56
220
-140.4551661356
-150
IRR 10.75%
-200

NPV 528.40 (11.60)

Situation 2 TIME cash flows

0 -50
K=12% 1 150
2 -90

NPV 62.18 12.18

NPV
IRR -17.08%
12.5 12.4
11.9834710744 12.381852552 12.1301775148
11.2244897959
10

0% 5% 10% 15% 20% 25% 30%

 30%

K 12% NPV
0.4551661356

K NPV
0% 120
5% 59.11456646
10% 7.107438017
15% -37.6904742
20% -76.5740741
25% -110.56
30% -140.455166

K NPV
0% 10
12.1301775148 5% 11.2244898
10% 11.98347107
15% 12.38185255
20% 12.5
25% 12.4
30% 12.13017751

30%
 Mutua

Dis rate
0%
5%
10%
13%
15%
20%
25%
30%

IRR

point of intersection is called cross over rate (i.e same NPV) only in case of mu
 Mutually exclusive

NPA _A NPA_B
50 65
34.5 42.9
21.5 24.9 Chart Title
14.8 15.7 70
60
10.6 10.1
50
1.3 -2.2
40
-6.8 -12.6
30
-13.7 -21.3 20
10
0
0% 5% 10% 15% 20% 25% 30% 35%
-10
-20
NPV) only in case of mutually exclusive-30
NPA _A NPA_B
% 25% 30% 35%

NPA_B