Question: Can You help me solve this in excel I keep Using the =NPV function But I dont know if I am using rthe right data

 Can You help me solve this in excel I keep Using

Can You help me solve this in excel I keep Using the =NPV function But I dont know if I am using rthe right data I am trying to solve question 1

the =NPV function But I dont know if I am using rthe

Siesta Restaurant VALUE OF MONEY APPLICATIONS 283 Operating Results (000) 2002 Revenue 2003 Food $900 2004 2005 Beverage 350 $925 2006 Total 1,250 360 $950 365 $975 $1,000 Operating expenses 1,285 1,315 370 1,345 375 Food cost 240 1,375 Beverage cost 50 255 Labor cost 550 53 270 285 585 54 Travel 57 300 615 60 Marketing 120 120 650 685 60 50 120 120 Utilities 60 40 120 65 20 70 10 Rent 160 162 75 80 Total 1,240 163 1,290 165 150 1,332 1,372 1,405 Operating Profit (Loss) $10 $ (5) $(17) $(27) $(30) Based on Paris's market analysis, tour of the competition, inspection of the subject property, and interviews with the prior owner, she concludes a Star Restaurant would work in the subject space, but it would require approximately $200,000 of renovation and conversion cost in addition to the land purchase price of $2,000,000. By Year 5, the restaurant could generate $2.5 million in annual food revenue and $1.5 million in annual beverage revenue. Ms. Brown estimates the following cash flows for the first five years of operations, with cash flows leveling off in Year 5. Year Cash Flow 1 $695,000 W N 876,250 1,057,500 1,238,750 1,420,000 Calculate the IRR and NPV of this project utilizing a 12% discount rate and a 15% cap rate. Ms. Brown 1. was able to secure a loan for $1,540,000, and an equity investor agreed to invest the remaining $660,000 in exchange for 20% ownership in the project

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