Question: please solve this with excel or google spreadsheet Q 6-43 North Plains Biofuels (NPB) has negotiated a contract with an oil firm to sell 150,000

please solve this with excel or google spreadsheet Q 6-43 North

please solve this with excel or google spreadsheet

Q 6-43 North Plains Biofuels (NPB) has negotiated a contract with an oil firm to sell 150,000 barrels of ethanol per year, for 10 years beginning in end of year (EOY) 4 . The oil firm will pay NPB $10M annually beginning from EOY0 to EOY3 and then $110 per barrel. (a)If NPB uses an interest rate of 15%, which method should be used to produce the biofuels? Annual O\&M costs increase 2% per year and raw materials costs 3% per year

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

Old MathJax webview Important: To solve the problem, use AW (annual worth) and ROR (rate of return) analysis rather than NPV (present value). Use EXCEL to show all of your formulas and explain...

Q:

UESTION: Create a business memo based on my response below. Use an AW and ROR analysis to analyze and evaluate a company's investment decision. Create a two-page memo with only the main points, no...

Q:

QUESTION: Create a business memo based on my response below. Use an AW and ROR analysis to analyze and evaluate a company's investment decision. Create a two-page memo with only the main points, no...

Q:

Please solve WITHOUT EXCEL 6-43 North Plains Biofuels (NPB) has negotiated a con- G tract with an oil firm to sell 150,000 barrels of ethanol per year, for 10 years beginning in end of year (EOY) 4....

Q:

CREATE A BUSINESS MEMO Create a business memo. Question: Use Annual worth and Rate of return answers to justify why company (a) should pick either corn or algae to produce biofuels. be long and...

Q:

PLEASE USE COMPOUND INTEREST FORMULAS TO SOLVE. North Plains Biofuels (NPB) has negotiated a contract with an oil firm to sell 150,000 barrels of ethanol per year, beginning at EOY4. The oil firm...

Q:

North Plains Biofuels (NPB) has negotiated a contract with an oil firm to sell 150,000 barrels of ethanol per year, beginning in end of year (EOY) 4. The oil firm will pay NPB $10M annually beginning...

Q:

1. What are the advantages and disadvantages of Rosetta Stone going public? 2. What do you think the current value of a share of Rosetta Stone is (at the time of the case)? Justify your valuation on...

Q:

. What are the advantages and disadvantages of Rosetta Stone going public? 2. What do you think the current value of a share of Rosetta Stone is (at the time of the case)? Justify your valuation on a...

Q:

Please solve using excel formulas, I detailed it 5 times so you will remember PLEASE SOLVE AND PROVIDE EXCEL SOLUTIONS FOR EACH ANSWER EX: =a7+a8 PLEASE SOLVE AND PROVIDE EXCEL SOLUTIONS FOR EACH...

Q:

For the following returns: What is the average return in each market from the point of view of a U.S. and a Japanese investor? Period United States Japan 18% 12% 10% 12% 7% Exchange Rate" 200 180 190...

Q:

A piston/cylinder arrangement has a linear spring and the outside atmosphere acting on the piston, shown in Fig. P5.131. It contains water at 3 MPa, 400C with the volume being 0.1 m3. If the piston...

Q:

XYZ Partnership engaged in a trade or business for which a qualified business income deduction may be allowed. What code would XYZ use in box 2 0 of Schedule K - 1 to notify the partners of...

Q:

rses / 20203-BSI8614 FA / General HWAU Look carefully at the table which represents a firm's short-run total productivity schedule. When the productivity of the labor is goes up from 52 to 100. What...