Question: Question 4 options: Use your Financial Calculator or Microsoft Excel to determine NPV, PI, and IRR the following project. Fijisawa Inc. is considering a major

Question 4 options:

Use your Financial Calculator or Microsoft Excel to determine NPV, PI, and IRR the following project.

Fijisawa Inc. is considering a major expansion of its product line and has estimated the following free cash flows associated with such an expansion. The initial outlay would be #1,950,000, and the project would generate incremental free cash flows of $450,000 for 6 years. The appropiate required rate of return is 9 percent.

ENTER YOUR ANSWER AS A NUMBER ONLY (Example 10000 OR 56700)

a. Calculate the NPV

ENTER YOUR ANSWER AS A NUMBER ONLY CARRIED TO 3 PLACES (Example 1.000 OR 5.678)

b.) Calculate the PI

ENTER YOUR ANSWER AS A WHOLE PERCENT (Example 5% or 10%)

c.) Calculate the IRR

d. Should this project be accepted?

ANSWER (YES OR NO)

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