Please utilize the information in the Prep Module $($Excel$)$ including all three of the What$-$if features to answer the following question. Upload the completed worksheets through this link. Make sure that each worksheet is formatted in a professional manner and that it is clear what task you are performing on each worksheet. You need to be able to present the information so that I can interpret it as easily as possible. You may wish to present the information by copying the Excel into a PowerPoint so that visually I can easily see your results and a narrative explaining what you have done and why. Chapter $12$ from the text may provide some assistance on techniques for determining some of the variables. Other chapters also discuss using NPV and working with the companies cashflows. The Excel lab handout can also serve as a good reference $($found in the prep material$).$ When you submit the assignment make sure to attach the narrative information as well as the Excel document.

The Maxwell Corporation is considering expanding operations of their manufacturing facility. The expansion cost $$6$ million and will increase annual cash inflow by $$2\mathrm{.}2$ million for $7$ years and then will provide no additional increase in revenue. The management believes that a good return on investments is $10-20\%.$

Required:

Compute net present value $($NPV$)$ of this investment project and the internal rate of return.

Should the equipment be purchased according to NPV analysis $($show outcomes under different return assumptions$)?$

What if the cashflows are not correctly forecasted at $$2\mathrm{.}2$ million how sensitive are they $($show different values$)?$