Practice questions

FOR QUESTION 12 PLEASE ALSO PROVIDE ANSWER IN EXCEL FORMAT (FORMULA EXAMPLE, =B6 +B7+B8)

12 x] H 6 - 2 - 1 . ; Calculating NPV and IRR - Excel ? - FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In Calibri - 11 - - A A % Paste BIU- B . . A . Alignment Number Conditional Format as Cell 10 Cells Editing Formatting Table Styles points Clipboard Font G Styles A1 X V eBook A B C D E F G H A project that provides annual cash flows of $15,400 for nine years costs $67,000 3 today. What is the NPV if the required return is 8 percent? What if it's 20 percent? At Print what discount rate would you be indifferent between accepting the project and rejecting it? 4 References 5 Annual cash flows $ 15,400 V a # of years 9 8 Costs EA 67,000 9 Required Return 10 Required Return 20% 11 12 13 Complete the following analysis. Do not hard code values in your calculations. You must use the built-in Excel function to answer this question. 14 15 NPV at 8 percent 16 17 NPV at 20 percent 18 19 IRR13 10 points A stock has a beta of 1.22, the expected return on the market is 12 percent, and the risk- free rate is 4 percent. What must the expected return on this stock be? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected relum _ % What are the portfolio weights for a portfolio that has 156 shares of Stock A that sell for 14 $45 per share and 130 shares of Stock B that sell for $30 per share? (Do not round intermediate calculations and round your answers to 4 decimal places, e.g., .1616.) 10 points