Introduction: This case study aims to determine the financial feasibility of three projects and recommend one project for selection based on the analysis of the five-year cash flow statement, net present value (NPV), internal rate of return (IRR), payback period, and discounted payback period. The projects will be evaluated based on their potential for generating positive cash flows and maximizing return on investment. Use a discount factor of 10%

Note: Please break down the inflows and outflows to different line items. I expect each group to have a different cash flow table.

Project 1:

Construction of a New Office Building Project Description: The first project involves the construction of a new office building. The initial investment required for this project is $10 million, which will be used to cover the cost of land acquisition, construction, and equipment. The estimated revenue from the rental of the office building is $3 million per year, with an expected increase of 12% per year. The estimated operating costs are $700,000 per year, with an expected increase of 3% per year. The estimated life of the office building is 20 years.

Project 2:

Purchase of a new Equipment Project Description: The second project involves purchasing a piece of new equipment. The initial investment required for this project is $8 million, which will be used to purchase the equipment. The estimated revenue from the operation of the equipment is $4.5 million per year, with an expected increase of 6% per year. The estimated operating costs are $900,000 per year, with an expected increase of 2% per year. The estimated life of the equipment is 10 years.

Project 3:

Development of a new Mobile App Project Description: The third project involves the development of a new mobile app. The initial investment required for this project is $5 million, which will be used to cover the cost of research and development, marketing, and server costs. The estimated revenue from the sale of the app is $680,000 per year, with an expected increase of 17% per year. The estimated operating costs are $450,000 per year, with an expected increase of 9% per year. The estimated life of the app is 5 years.

Prepare the Cash Flow Statement and calculate the following:

1. Net Present Value

2. Payback Period

3. Discounted [Payback Period

4. Internal Rate of Return

Please complete the Cash Flow Statement and calculate the following of project 2 . If you help me with the excel sheet like i shown below which is the project 1 cash flow and it would be so helpful . The due date is tomorrow. Thank you

B C D E G H Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Inflows SK SK $K SK $K SK Revenue 4,500,000 4770000.00 5059200.00 5368512.00 5699938.72 Outflows SK SK $k SK $k nvestment 8,000,000 0 0 Personnel Costs 0 500000 530000.00 562920.00 598561.00 636010.00 Software and 0 100000 106000.00 112584.00 119712.00 127202.0 Equipment costs 9 Infrastructure costs 0 60 65.40 71.29 77.70 84.69 Marketing and 0 45 49.05 53.46 58.28 53.52 10 adevertsing costs App administration 10 10.90 11.88 12.95 14.12 11 costs Legal and accounting 0 15 16.35 17.87 19.43 21.17 12 costs 13 TOTAL 800000 600130 636141.70 675658.45 718441.35 763395.51 14 NET CASH FLOW 8000000 3899870 4133858.30 4383541.55 4650070.65 4936543.21 TOTAL TOTAL NET CASH FLOW (Total YEAR INFLOWS($K) OUTFLOWS($K) inflows-Total Outflows) 15 16 0 0 5000 5000 17 1 680 450 230 18 2 795.60 490.50 305.10 19 3 930.85 534.65 396.21 20 4 1089.10 582.76 506.3 21 5 1274.24 35.21 639.03 22 23 TOTAL TOTAL NET CASH FLOW CUMILATIVE CASH YEAR (Total 24 INFLOWS($K) OUTFLOWS($K) inflows-Total Outflows) INFLOW( $k) 25 0 0 5000 5000 5000 26 680 450 230 4770.00 27 795.60 190.50 305.10 4464.90 28 3 930.85 34.65 396.2: 4068.69 29 1089.10 82.76 506.33 3562.36 30 5 1274.24 635.21 639.03 2923.33 31 NET CASH DISCOUNT YEAR 33 FLOW($K) FACTOR(10%) PRESENT VALUE($K) Discounted cash flow 34 500 5000.00 5000 35 230 0.91 209.30 4790.70 36 W N I 305.1 0.83 253.23 4537.47 396.21 0.75 297.16 4240.31 38 506.3 0.68 344.30 3896.01 39 639.03 0.62 396.20 3499.81 40 3499.81