Question: Problem One : Project Evaluation Methods at Topley PLEASE HELP DEAR SIR/MA'AM HOW DO I SOLVE THIS IN EXCEL TopleyLtd.isanalyzingthepurchaseofnewequipmentfor CAD 220,000.Itisestimatedthatitwillreducecompanycash outflowsfromoperationsbyCAD 50,000peryear.Itsestimatedlifeistenyears,anditwillhavezeroterminaldisposalvalue.TheRRRis16.0%. REQUIRED:

Problem One : Project Evaluation Methods at Topley

PLEASE HELP DEAR SIR/MA'AM HOW DO I SOLVE THIS IN EXCEL

TopleyLtd.isanalyzingthepurchaseofnewequipmentfor CAD 220,000.Itisestimatedthatitwillreducecompanycash outflowsfromoperationsbyCAD 50,000peryear.Itsestimatedlifeistenyears,anditwillhavezeroterminaldisposalvalue.TheRRRis16.0%.

REQUIRED:

  1. Computethepaybackperiod.
  2. Computethediscounted paybackperiod.
  3. Computethe NPV.
  4. Compute the IRR.
  5. Computer MIRR.
  6. ComputethePI.

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