*How do I put the NPV functions on excel for question 1 and 2 (what are the steps) ??*

1. Using the NPV function in Excel determine the Net Present Value (NPV) for the Konica

Minolta system for estimated volumes starting from 200,000 copies/year to 300,000

copies/year, in increments of 5,000 copies.

2. Using the NPV function in Excel determine the (NPV) for the Ricoh system for estimated

volumes starting from 200,000 copies/year to 300,000 copies/year, in increments of 5,000

copies

Chapter 16 - Computer Assignment Randall UPS is a supplier of a variety of services for small businesses. Commercial printer, scanning, and copier equipment is being considered to replace a five-year-old machine. After the initial screening of a variety of systems, two integrated systems remain as potential replacements - a new model from Konica Minolta and an updated and enhanced reconstructed model from Ricoh. The relevant information on the two machines are as follows: Konica Minolta Ricoh Installed Price $24,500 $25,500 Estimated costs $4,300 plus $0.015/copy $7,050 Estimated salvage value $10,500 $12,500 Estimated useful life 5 years 5 years Randall expects to charge customers $0.06 per copy and sell 250,000 copies annually; however, they are uncertain about their service volume estimate. The $0.06 per copy they expect to charge customers and the maintenance & usage fees are not expected to change over the next five years. Randall requires a minimum pre-tax rate of return of 15% on its equipment investments