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Hello sir, while i was calculating the NPV ie. working capital column in year 0, it stated as (775). I had done the calculations for it but wasn’t able to understand how it was 775.
Can you tell me how i can get this?
I have no idea why you refer to it as the ‘working capital column’ because the 775 has nothing to do with working capital !!
It is the investment at time 0 in land and buildings (75m) plus in plant and machinery (700m) as given in the question.
Sorry sir i misread the line investment cost as “working capital”. I realised this soon after..
Thankyou sir (:
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