Question: Please show how I would solve this in excel. h Comparing NPV, profitability Index Pl, and payback A capital project has an initial cost of

h Comparing NPV, profitability Index Pl, and payback A capital project has an initial cost of $21,000.00 and generates cash flows c $ 5,700.00 per year for 7 years. If the cost of capital is 15.0% what is the NPV. the profitability Index, and the payback period? Initial investment= $21,000.00 Cost of capitals 15.0% Annual cash flows= $ 5,700.00 NPV=1 PI= Payback periode years i Calculating the present value of a capital project What is the maximum amount a firm should consider investing today for a project that will retrun $17,000.00 per year for 5 years, if the opportunity cost of capital is 7.20% You must work the solution both ways to get credit for this problem Annual future cash flows= $17,000.00 Year CF PV(CF) Investment horizon= 5 0 $0.00 $0.00 Cost of capital 7.20% 1 $17,000.00 2 $17,000.00 Maximum investments 3 $17,000.00 4 $17,000.00 5 $17,000.00 sum
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