Question: please solve this numerical problem = = A1 fe F G H D E 1 2 Question 1 3 Glven the following data on a
= = A1 fe F G H D E 1 2 Question 1 3 Glven the following data on a potential branch opening please calculate the answers and decide if the branch should be opened? 4 5 Input Area: 6 Initial cost of banking facility $3,400,000.00 7 Initial other organizing expenses $400,000.00 8 Year 1 revenue $400,000.00 9 Year 1 operating expense $140,000.00 10 Annual growth rate in revenues 3.00% 11 Annual growth rate in expenses 2.00% 12 Required annual rate of return 11.00% 13 Life of Facility Years 20.00 14 15 Answer Area Enter your answer Grade 0 O 20 0 117 Present value of Revenues 18 19 Present value of Expenses 21 Net Present Value of new banking facility 22 23 24 should thid facility be opend 25 No (enter). Yes (enter 1) 26 27 28
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