ch 14 excel.

answer a-d

Svet Ches ! Required information The Chapter 14 Form worksheet is to be used to create your own worksheet version of Example E and Exhibit 14-8 in the text 2. The company is considering a project involving the purchase of new equipment Change the data area of your worksheet to match the following: Use Exhibit 148.1 and Exhibit 148-2 (Use appropriate factor(s) from the tables provided) B $ 1 Chapter 14: Applying Excel 2 3 Data 4 Example E 5 Cost of equipment needed 6 Working capital needed 7 Overhaul of equipment in four years 8 Salvage value of the equipment in five years 9 Annual revenues and costs 10 Sales revenues 11 Cost of goods sold 12 Out-of-pocket operating costs 13 Discount rate $ S S 150,000 25,000 15,000 25,000 $ $ $ 360,000 255,000 65,000 11 % Discount rato 11% a. What is the net present value of the project? (Negative amount should be indicated by a minus sign. Round your present value factor to 3 decimals and round all other intermediate calculations to nearest whole dollar) Nel present Value c The internal rate of return is between what two whole discount rates (eg, between 10% and 11% between 11 and 12%, between 12% and 13% between 13% and 14%, etc)? The internal rate of return is between % and d Reset the discount rate to 15. Suppose the salvage value is uncertain How large would the salvage value have to be to result in a positive net present value? Minimum salvage value oued to generate a positive present Value