Tesla is planning to produce an all-electric family car and expects the following cash flows (in...
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Tesla is planning to produce an all-electric family car and expects the following cash flows (in $ million) at the end of each year: Year 0 1 2 3 4 5 Cash flow -130 10 20 40 80 110 The required return for this project is 12%. Create an Excel spreadsheet with the present value of each cash flow. What is the project's NPV (in $ million)? There's an easier way: What is the NPV using Excel's NPV() function? Note that Excel's NPV function discounts all the cash flows in the range, even the first one. Tesla is planning to produce an all-electric family car and expects the following cash flows (in $ million) at the end of each year: Year 0 1 2 3 4 5 Cash flow -130 10 20 40 80 110 The required return for this project is 12%. Create an Excel spreadsheet with the present value of each cash flow. What is the project's NPV (in $ million)? There's an easier way: What is the NPV using Excel's NPV() function? Note that Excel's NPV function discounts all the cash flows in the range, even the first one.
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1 The Table showing present values of cashflows of each year and NPV as the sum of pr... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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