QUESTIONS 69 THROUGH 78 RELATE TO CORPORATE FINANCE

71. An analyst determines the following cash flows for a capital project:

Year 0 1 2 3 4 5

Cash flow (€) -100 30 40 40 30 20

The required rate of return for the project is 13 percent. The net present value

(NPV) of the project is closest to:

A. €14.85.

B. €60.00.

C. €214.85.

By accessing this mock exam, you agree to the following terms of use: This mock exam is provided to

currently-registered CFA candidates. Candidates may view and print the exam for personal exam

preparation only. The following activities are strictly prohibited and may result in disciplinary and/or legal

action: accessing or permitting access by anyone other than currently-registered CFA candidates; copying,

posting to any website, emailing, distributing and/or reprinting the mock exam for any purpose.