Problem: You are considering a project with an initial cash outlay of $80,000 and expected free cash flows of $20,00 at the end of each year for 6 years. The required rate of return for this project is 10 percent.
1. What is the project`s payback period?
2. What is the project's NPV?
3. What is the project's PI?
4. What is the project's IRR?