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14. Go to the Investment worksheet. This worksheet should show the returns potential investors could realize if they invested $165,000 in the Neighborhood Nurse program.

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14. Go to the Investment worksheet. This worksheet should show the returns potential investors could realize if they invested $165,000 in the Neighborhood Nurse program. Pranjall figures a desirable rate of return would be 7.3 percent. She estimates the investment would pay different amounts each year (range C7:C12) and wants to calculate the present value of the investment. Calculate the present value of the investment as follows: a. In cell C15, enter a formula that uses the NPV function to calculate the present value of the investment in a medical van for the Neighborhood Nurse program. b. Use the desired rate of return value (cell c14) as the rate argument. c. Use the payments in Years 1-6 (range C7:C12) as the returns paid to investors. (Hint: If a Formula Omits Adjacent Cell error waming appears, ignore it.) 15. Pranjall also wants to calculate the internal rate of return on the investment. If it is 7 percent or higher, she is confident she can attract investors. Calculate the internal rate of return on the investment as follows: a. In cell C17, enter a formula that uses the IRR function to calculate the internal rate of return for investing in a medical van for the Neighborhood Nurse program. b. Use the payments for startup and Years 16 (range C6:C12) as the returns paid to Investor Repayment Schedule Vvestemeant Restumn: Investor Bemervment Sichadule

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