Question: Please answer these in excel with the formulas for each box on how every answer was calculated!! Thank you so much Question 2: Capital Budgeting

Please answer these in excel with the formulas for each box on how every answer was calculated!! Thank you so much

Please answer these in excel with the formulas for each box on

Question 2: Capital Budgeting You are considering an investment in two projects, A and B. Both have an initial cost of $65,000, and the projected cash flows listed below. Project A Project B Year 0 1 2 3 Project A Project B $ (65,000.00) $ (65,000.00) $ 4,000.00 $ 34,000.00 $ 13,000.00 $ 28,000.00 $ 30,000.00 $ 18,000.00 $ 35,000.00 $ 13,000.00 $ 40,000.00 $ 11,000.00 $ 4,000.00 $ 17,000.00 $ 47,000.00 $ 82,000.00 $ 122,000.00 4 5 Assuming the weighted average cost of capital (WACC) is 12%, calculate the payback period, discounted payback period, NPV, and IRR. If the projects are mutually exclusive, which should be selected? WACC 12% Project A Project B Payback Period Discounted Payback Period Net Present Value Internal Rate of Return Best Project? Hint: Use an IF statement here Suppose you are curious about how your WACC may impact your project decision. Create a NPV profile for Project A and B using the table below What is the exact crossover rate for these projects? Crossover Rate Project A Project B [ WACC 0.0% 1.5% 3.0% 4.5% 6.0% 7.5% 9.0% 10.5% 12.0% 13.5% 15.0% 16.5% 18.0% 19.5% 21.0% 22.5%

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