Question: PLEASE ANSWER ALL 3 PARTS Required information The Chapter 13 Form worksheet is to be used to create your own worksheet version of Example E

PLEASE ANSWER ALL 3 PARTS

PLEASE ANSWER ALL 3 PARTS Required information The Chapter 13 Form worksheet

is to be used to create your own worksheet version of Example

E and Exhibit 13-8 in the text 2. The company is considering

a project involving the purchase of new equipment. Change the data area

Required information The Chapter 13 Form worksheet is to be used to create your own worksheet version of Example E and Exhibit 13-8 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 13B-1 and Exhibit 13B-2. (Use appropriate factor(s) from the tables provided.) 1Chapter 13: Applying Excel 2 3 Data 4Example E 5 Cost of equipment needed 6 Working capital needed 7 Overhaul of equipment in four years $300,000 $45,000 30,000 40,000 8 Salvage value of the equipment in five years 9 Annual revenues and costs: 10 Sales revenues 11 Cost of goods sold 12Out-of-pocket operating costs 13 Discount rate $385,000 $ 235,000 55,000 18% 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.) Net present value C. The internal rate of return is between what two whole discount rates (e.g., between 10% and 11%, between 11% and 12%, between 12% and 13%, between 13% and 14%, etc.)? internal rate of return is between 96 land d. Reset the discount rate to 18%. 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 required to generate a positive present value

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