SOLUTION: Hello,
NPV= [-$310000 x P] + [ $207000 x 0.48] + [ $398000 x (1 - 0.48 - P)]
I am a finance major and am drawing a blank as to how to solve for P.
If you could help I would appr
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-> SOLUTION: Hello,
NPV= [-$310000 x P] + [ $207000 x 0.48] + [ $398000 x (1 - 0.48 - P)]
I am a finance major and am drawing a blank as to how to solve for P.
If you could help I would appr
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Question 944061: Hello,
NPV= [-$310000 x P] + [ $207000 x 0.48] + [ $398000 x (1 - 0.48 - P)]
I am a finance major and am drawing a blank as to how to solve for P.
If you could help I would appreciate it.
Thank you. Found 2 solutions by stanbon, ankor@dixie-net.com:Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! NPV= [-$310000 x P] + [ $207000 x 0.48] + [ $398000 x (1 - 0.48 - P)]
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NPV= [-$310000 x P] + [ $99360] + [ $398000 x $(1 - 0.48 - P)]
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NPV= [-$310000 x P] + [ 99360] + 0.52*398000- 398000P
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NPV= -$310000P + 306320 - 398000P
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NPV= =708000P + 306320
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Take it from there.
Cheers,
Stan H.
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You can put this solution on YOUR website! NPV= [-$310000 x P] + [ $207000 x 0.48] + [ $398000 x (1 - 0.48 - P)]
Do the math and write it as:
NPV = [-310000P] + 99360 + [398000(.52 - P)]
More math
NVP = -310000P + 99360 + 206960 - 398000P
Gather like terms
NVP = -310000P - 398000P + 306320
NVP = -708000P + 306320
708000P + NVP = 306320
P(708000 + NV) = 306320
P =
(