Project Cost of Capital = 15%

Timeline Expected Cash Flows

Year Press A Press B Press C
0 -$ 85,000 -$ 60,000 -$ 130,000
1 $ 18,000 $ 12,000 $ 50,000
2 $ 18,000 $ 14,000 $ 30,000
3 $ 18,000 $ 16,000 $ 20,000
4 $ 18,000 $ 18,000 $ 20,000
5 $ 18,000 $ 20,000 $ 20,000
6 $ 18,000 $ 25,000 $ 30,000
7 $ 18,000 $ 40,000
8 $ 18,000 $ 50,000

$ 11,028.67 10.0000%
$ 4,417.52 12.0000%
Ch
$ 1,377.87 13.0000% $15,000.00
$ 207.80 13.4000% $10,000.00
-$ 0.12 13.4720%
$5,000.00
-$ 80.76 13.5000%

NPV $
$-
-$ 1,500.45 14.0000% 1 2 3
-$ 4,228.21 15.0000% $(5,000.00)
-$ 9,271.07 $(10,000.00)

$(15,000.00)

Column
 Cost of Capital

17%
20%
22%

Chart Title
$15,000.00

$10,000.00

$5,000.00

$-
1 2 3 4 5 6 7 8 9
$(5,000.00)

$(10,000.00)

$(15,000.00)

Discount Rate

Column D Column E