Please contact me so i can send you the excel file. All i need is the formula

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Please contact me so i can send you the excel file. All i need is the formula for the Project B Discount rate in excel

2. Consider the following cash flows on two mutually exclusive projects: The cash flows of project A are expressed in real terms while those of Popject B are expressed in nominal terms. The appropriate nominal discount rate is 11 percent and the inflation rate is 4 percent. Which project should you choose?

Project A (real cash flow) Project B (nominal cash flow)

Year

0 (67,000) (74,000)

1 34,000 34,000

2 37,000 45,000

3 23,000 29,000

Discount rate 6.73%

NPV $16,253.63 $14,358.19

You should choose Project A as the NPV is higher

Posted Date: May 17, 2024 05:14 PM

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Please contact me so i can send you the excel file. All i need is the formula

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