Question: Use the Five Steps to Solve Math Word Problems for this problem. Calculate the Net Present Value (NPV) for a project costing QAR 1,000,000. The

Use the Five Steps to Solve Math Word Problems for this problem.

Calculate the Net Present Value (NPV) for a project costing QAR 1,000,000. The project will return QAR 65,000 annually for 25 years. The discount rate is 5%. Should the company go ahead with the project?

1) State the goal of the problem 2) List all relevant facts, conditions and numbers with proper labels Planned Project
Annual Discount Rate
Initial Cost of Investment
Return Year 1
Return Year 2
Return Year 3
Return Year 4
Return Year 5
3) Solve problem using Efficient Excel Methods 4) Check answer Return Year 6
Use the table starting in cell G6 Try Again Return Year 7
Return Year 8
Return Year 9
Return Year 10
Return Year 11
Return Year 12
Return Year 13

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