NPV/WACC/Discount rate question help?

Hi, I have to calculate the NPV of an investment & I read that that by doing that I need to find the future values and discount rate and WACC(weighted average cost of capital). So far i have found the future values(15 years) but I don’t understand how to calculate the WACC, discount rate to get to NPV.

discount rate: 10.5%
interest rate for investment: 8.25%
investment: 0,000

your help is much appriciated. If there is any other info missing, i will update it.
thank you in advance!

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One Response to “NPV/WACC/Discount rate question help?”

  1. Don G says:

    NPV is the difference between the initial investment and the Present Value of future cash flows, discounted at whatever rate the investor chooses to use.

    If the investor chooses to use its WACC, first determine its cost of Debt, net of tax, and also its cost of Equity. Weighting the two sources of capital determines WACC.

    If an established discount rate is used, then future cash flows are discounted at that rate instead.

    You still need the future cash flows, by year. And I am not sure what is meant by the "interest rate for investment".

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