5 Capital budgeting model F G H M N 4 Input data on potential investments ($ millions) Investment 1 2 Cost $5,0 $2,4 NPV $5,6 $2,7 ROL 12,0% 12,5% 3 $3,5 $3,9 11,4% $5,9 $6,8 15,3% 5 $6,9 $7,7 11,6% 6 $4,5 $5,1 13,3% 7 $3,0 $3,3 10,0% UNERADED HW Question 1: In the model as shown what is the ROI for the solution as shown create a formula to calculate it in cell 819) Question 2: If the budget constraint in cell 014 could be increased by $3 what would be the maximum increase you could achieve in NPV in cel 817) D 1 D 1 1 0 Budget Sis Challenge questions What would be the Rol of the total amount invested under question Is this higher or lower than the or in question 1? Why? What would be the ROY of the additional and lovested under question 2? Decisions whether to invest 10 it yes, if no 0 11 12 Budget constraint 13 Total cost 14 $14,9 15 16 Objective to maximize 17 Total NPV $16,7 10 19 Total ROI 20 21 22 23 There are hints on the next tab, and the solutions But don't look until you have tried Other things to try Look at all the formules in the cells What happens if you put 0.5 or 2 or 3 in one of the cells thar currently have Os and is in row 107 25 26 27 26 29 5 Capital budgeting model F G H M N 4 Input data on potential investments ($ millions) Investment 1 2 Cost $5,0 $2,4 NPV $5,6 $2,7 ROL 12,0% 12,5% 3 $3,5 $3,9 11,4% $5,9 $6,8 15,3% 5 $6,9 $7,7 11,6% 6 $4,5 $5,1 13,3% 7 $3,0 $3,3 10,0% UNERADED HW Question 1: In the model as shown what is the ROI for the solution as shown create a formula to calculate it in cell 819) Question 2: If the budget constraint in cell 014 could be increased by $3 what would be the maximum increase you could achieve in NPV in cel 817) D 1 D 1 1 0 Budget Sis Challenge questions What would be the Rol of the total amount invested under question Is this higher or lower than the or in question 1? Why? What would be the ROY of the additional and lovested under question 2? Decisions whether to invest 10 it yes, if no 0 11 12 Budget constraint 13 Total cost 14 $14,9 15 16 Objective to maximize 17 Total NPV $16,7 10 19 Total ROI 20 21 22 23 There are hints on the next tab, and the solutions But don't look until you have tried Other things to try Look at all the formules in the cells What happens if you put 0.5 or 2 or 3 in one of the cells thar currently have Os and is in row 107 25 26 27 26 29