Question: *(Please show me how to do this on the Excel, and please also include Excel formulas)* Suppose Black Sheep Broadcasting Company is evaluating a proposed

*(Please show me how to do this on the Excel, and please also include Excel formulas)*

Suppose Black Sheep Broadcasting Company is evaluating a proposed capital budgeting project (project Beta) that will require an initial investment of $3,000,000. The project is expected to generate the folloiwng net cash flows:

Year Cash Flow
1 $300,000
2 $475,000
3 $475,000
4 $400,000

Black Sheep Broadcasting Company's weighted average cost of capital is 10%, and project Beta has the same risk as the firm's average project. Based on the cash flows, what is the project Beta's NPV?

a) $1,295,369

b) - $4,704,631

c) - $1,304,631

d) - $1,704,631

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