Question: Project A Project B Project C Project D Year 0 : $ ( 3 0 0 , 0 0 0 ) $ ( 7 0

Project A Project B Project C Project D
Year 0: $(300,000) $(700,000) $(800,000) $(510,000)
Year 1: $(13,250) $29,313 $(60,000) $192,206
Year 2: $(450) $87,938 $(16,000) $129,846
Year 3: $25,494 $146,563 $61,640 $(43,350)
Year 4: $101,003 $234,500 $162,140 $(62,475)
Year 5: $63,315 $322,438 $262,640 $(94,350)
Total:
Cost for Each Project: $300,000 $700,000 $800,000 $510,000
1. What is the net present value at 10%? What would the excel calculation look like?
2. What is the net present value at 8.50%? What would the excel calcluation look like?

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!