Question: Question Two [6 marks] (a) Use an EXCEL spread sheet to calculate the Net Present Value and Discounted Payback Period of the following project at

Question Two [6 marks] (a) Use an EXCEL spread sheet to calculate the Net Present Value and Discounted Payback Period of the following project at 20.00% per annum e?ective. [4 marks] Date Cash flow 25/08/2000 -1,000,000 25/11/2000 -100,000 25/03/2001 160,968 25/09/2001 161,936 25/03/2002 162,904 25/09/2002 163,872 25/03/2003 164,840 25/09/2003 165,808 25/03/2004 166,776 25/09/2004 167,744 25/03/2005 168,712 25/09/2005 169,680 (b) Use your spread sheet to determine the internal rate of return correct to 0.1% per annum. [2 marks]

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