Question: Using Excel to Determine the Net Present Value PROBLEM Thunder Corporation, an amusement park, is considering a capital investment in a new exhibit. Amusement parks
Using Excel to Determine the Net Present Value PROBLEM Thunder Corporation, an amusement park, is considering a capital investment in a new exhibit. Amusement parks need to rotate exhibits to keep people interested. Additional information concerning the potential investment follows. \begin{tabular}{lr} Original cost of investment & $136,000 \\ Estimated sales value at end of 5 years & 60,000 \\ Expected increase in annual cash flows & 25,000 \\ Estimated useful life in years & 5 years \\ Borrowing rate & 8,0% \\ Cost of capital & 10,0% \end{tabular} Student Work Area Required. Provide input into cells shaded in yellow in this template. Use the NPV function with mathematical formulas and cell referencing to the Problem area in the input cells. Cakculate the net present value of this project to the company using Excel's NPV function Net present value
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