Question: Function: NPV; Formula: Add, Subtract; Cell Referencing m Using Excel to Determine the Net Present Value Student Work Area PROBLEM Required: Provide input into cells

 Function: NPV; Formula: Add, Subtract; Cell Referencing m Using Excel to

Function: NPV; Formula: Add, Subtract; Cell Referencing m Using Excel to Determine the Net Present Value Student Work Area PROBLEM Required: Provide input into cells shaded in yellow in this template. Use Thunder Corporation, an amusement park, is considering a the NPV function with cell referencing to the Problem area in the input cell. capital investment in a new exhibit. Amusement parks need to Use a math formula in the field in which the cash flow for the salvage value rotate exhibits to keep people interested. Additional information is expected to occur, and separately, to account for the initial cash flow in concerning the potential investment follows. the formula after the function has been inputted Original cost of investment $136,000 Estimated sales value at end of 5 years 60,000 Calculate the net present value of this project to the company using Expected increase in annual cash flows 25,000 Excel's NPV function. m Estimated useful life in years .5 years Borrowing rate 8.0% Net present value In Cost of capital 10.0%

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