Problem Two: Project Evaluation Methods at Cott Beverages

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

Cott Beverages is considering the purchase of a bottling machine for CAD 28,000. It is expected to have a useful life of seven years with a zero terminal disposal price. The plant manager estimates the following cash savings:

Year	Amount (CAD)
1	10,000
2	8,000
3	6,000
4	5,000
5	4,000
6	3,000
7	3,000
Total	39,000

Cott has an RRR of 16.0%.

REQUIRED:

1. Compute the payback period.
2. Compute the discounted payback period.
3. Compute the NPV.
4. Compute the IRR.
5. Compute PI.