Question
In: Finance
Compute the NPV statistic for Project Y if the appropriate cost of capital is 11 percent....
Compute the NPV statistic for Project Y if the appropriate cost of capital is 11 percent. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your final answer to 2 decimal places.)
| Project Y | |||||
| Time: | 0 | 1 | 2 | 3 | 4 |
| Cash flow: | –$8,300 | $3,690 | $4,520 | $1,860 | $640 |
Should the project be accepted or rejected?
Solutions
Expert Solution
NPV is $ 474.46
The project should be accepted.
| Year | Cash flow | Discount factor | Present Value |
| a | b | c=1.11^-a | d=b*c |
| 0 | $ -8,300 | 1.0000 | $ -8,300.00 |
| 1 | 3,690 | 0.9009 | 3,324.32 |
| 2 | 4,520 | 0.8116 | 3,668.53 |
| 3 | 1,860 | 0.7312 | 1,360.02 |
| 4 | 640 | 0.6587 | 421.59 |
| NPV | $ 474.46 |
jeff jeffy answered 4 months agoRelated Solutions
Compute the NPV statistic for Project Y if the appropriate cost of capital is 11 percent....
Compute the NPV statistic for Project Y if the appropriate cost
of capital is 11 percent. (Negative amount should be
indicated by a minus sign. Do not round
intermediate calculations and round your final answer to 2 decimal
places.)
Project Y
Time:
0
1
2
3
4
Cash flow:
–$8,100
$3,370
$4,200
$1,540
$320
Compute the NPV statistic for Project Y if the appropriate cost of capital is 12 percent....
Compute the NPV statistic for Project Y if the appropriate cost
of capital is 12 percent. (Negative amount should be
indicated by a minus sign. Do not round
intermediate calculations and round your final answer to 2 decimal
places.)
Project Y
Time:
0
1
2
3
4
Cash flow:
–$9,200
$3,590
$4,420
$1,760
$540
NPV:
Should the project be accepted or rejected?
accepted
rejected
Compute the NPV statistic for Project U if the appropriate cost of capital is 9 percent....
Compute the NPV statistic for Project U if the appropriate cost
of capital is 9 percent. (Negative amount should be
indicated by a minus sign. Do not round intermediate calculations
and round your final answer to 2 decimal places.)
Project U
Time:
0
1
2
3
4
5
Cash
flow
–$1,050
$370
$1,530
–$530
$320
–$110
Compute the NPV statistic for Project U if the appropriate cost of capital is 10 percent....
Compute the NPV statistic for Project U if the appropriate cost
of capital is 10 percent. (Do not round intermediate
calculations and round your final answer to 2 decimal
places.)
Project U
Time:
0
1
2
3
4
5
Cash flow:
–$1,000
$350
$1,480
–$520
$300
–$100
show how to do this in excel and the excel formulas
You have to show what the excel formulas are pls
Compute the payback statistic for Project A if the appropriate cost of capital is 8 percent...
Compute the payback statistic for Project A if the appropriate
cost of capital is 8 percent and the maximum allowable payback
period is four years. (Round your answer to 2 decimal
places.)
Project A
Time:
0
1
2
3
4
5
Cash flow:
–$1,600
$590
$660
$640
$420
$220
Should the project be accepted or rejected?
Compute the MIRR statistic for Project I if the appropriate cost of capital is 13 percent....
Compute the MIRR statistic for Project I if the appropriate cost
of capital is 13 percent. (Do not round intermediate calculations.
Round your final answer to 2 decimal places.) Project I Time: 0 1 2
3 4 Cash flow –$11,500 $5,580 $4,430 $1,770 $2,250 MIRR % Should
the project be accepted or rejected?
Compute the PI statistic for Project Z if the appropriate cost of capital is 6 percent....
Compute the PI statistic for Project Z if the appropriate cost
of capital is 6 percent. (Do not round intermediate
calculations and round your final answer to 2 decimal
places.)
Project Z
Time:
0
1
2
3
4
5
Cash
flow
–$3,300
$730
$860
$1,030
$680
$480
Compute the MIRR statistic for Project J if the appropriate cost of capital is 10 percent....
Compute the MIRR statistic for Project J if the appropriate cost
of capital is 10 percent. (Do not round intermediate
calculations and round your final answer to 2 decimal
places.)
Project J
Time:
0
1
2
3
4
5
Cash flow:
−$1,000
$350
$1,480
−$520
$300
−$100
MIRR ______ %
Should the project be accepted or rejected?
Compute the payback statistic for Project B if the appropriate cost of capital is 12 percent...
Compute the payback statistic for Project B if the appropriate
cost of capital is 12 percent and the maximum allowable payback
period is three years. (If the project never pays back,
then enter a "0" (zero).)
Project B
Time:
0
1
2
3
4
5
Cash flow:
–$11,600
$3,410
$4,300
$1,640
$0
$1,120
Compute the NPV for Project K if the appropriate cost of capital is 7 percent. (Negative...
Compute the NPV for
Project K if the appropriate cost of capital is 7 percent.
(Negative amount should be indicated by a minus
sign. Do not round intermediate calculations and
round your final answer to 2 decimal places.)
Project K
Time:
0
1
2
3
4
5
Cash flow:
−$11,600
$5,800
$6,800
$6,800
$5,800
−$14,600
Should the project be accepted or rejected?
rejected
accepted
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