Create two sheets in an Excel workbook, and complete the following questions. Questions 1 and 2 will be on the first sheet, and questions 3 and 4 will be on the second sheet:

1: An NBA player is to receive a $1,000,000 signing bonus today and $2,000,000 one year, two years, and three years from now. Assuming r = 0.10 and ignoring tax considerations, would he be better off receiving $6,000,000 today?

2: Beginning one month from now, a customer will pay $25 per month to her internet provider for the next five years. Assuming all revenue for a month is received at the beginning of the month, use the XNPV function to obtain the exact NPV of these revenues. Use r = 0.15.

3: Compute all IRRs for the following sequence of cash flows: Year 1: $-10,000 Year 2: $8,000 Year 3: $1,500 Year 4: $1,500 Year 5: $1,500 Year 6: $1,500 Year 7: $-1,500

4: For the cash flows in the previous problem (#3), assume you can borrow at 12 percent per year and invest profits at 15 percent per year. Compute the projects MIRR.