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Answer the questions as specified in the directions in the excel file. The text book is called Fundamentals of Corporate Finance , 11 th Edition

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Answer the questions as specified in the directions in the excel file.

The text book is called Fundamentals of Corporate Finance , 11 th Edition ( Author Stephen Ross; Randolph Westerfield; Bradford Jordan)

image text in transcribed If you just type in numbers as answers, you need to show how they were calculated. If answers are determined using excel functions, that is sufficient to demonstrate how they were calculated. No response to a question will receive zero credit. If you at least attemp a solution, you may receive partial cre correct The expected cash flows for a project are as follows. The required return is 12 percent. Ch9-1 Calculate the Internal Rate of Return and state whether the project should be accepted or rejected. year 0 1 2 3 cash flow (32,000) 14,000 15,750 11,250 The expected cash flows for a project are shown below. Ch9-2a Ch9-2b Calculate the NPV with a 14% required rate of return and state whether the project should be accepted or rejec Calculate the NPV with a 20% required rate of return and state whether the project should be accepted or rejec year cash flow 0 (38,500) 1 16,750 2 20,250 3 17,500 ted. e how they were calculated. on, you may receive partial credit. rcent. cepted or rejected. ect should be accepted or rejected. ect should be accepted or rejected. If you just type in numbers as answers, you need to show how they were calculated. If answers are determined using excel functions, that is sufficient to demonstrate how they were calculated. No response to a question will receive zero credit. If you at least attemp a solution, you may receive partial cr Calculating Projected Net Income [LO1] A proposed new investment has projected sales of $740,000. Variable c fixed costs are $225,000; depreciation is $78,000. Ch10-1a Prepare a pro forma income statement assuming a tax rate of 32 percent. Ch10-1b What is the projected net income? Project Evaluation [LO1] A company is looking at a new production system with an installed cost of $725,000. Th equal installments over the project's five-year life, at the end of which the system will retain a salvage value of $ firm $275,000 per year in pretax operating costs, and the system requires an initial investment in net working ca Ch10-2 If the tax rate is 36 percent and the discount rate is 12 percent, what is the NPV of this project? ted. e how they were calculated. on, you may receive partial credit. d sales of $740,000. Variable costs are 46 percent of sales, and n installed cost of $725,000. This cost will be depreciated in will retain a salvage value of $125,000. The system will save the l investment in net working capital of $38,000. of this project? If you just type in numbers as answers, you need to show how they were calculated. If answers are determined using excel functions, that is sufficient to demonstrate how they were calculated. No response to a question will receive zero credit. If you at least attemp a solution, you may receive partial cr Calculating Break-Even [LO3] In each of the following cases: Calculate the accounting break-even and the cash break-even points. Ignore any tax effects in calculating the c unit price Ch11-1a Ch11-1b Ch11-1c 2,200 50 275 variable cost per unit 1,850 42 210 fixed cost 6,000,000 150,000 16,250 annual cash breakdepreciation even quantity accounting break-even quantity 2,200,000 145,000 18,750 Using Break-Even Analysis [LO3] Consider a project with the following data: accounting break-even quantity = quantity = 12,200 units; project life = 6 years; fixed costs = $220,000; variable costs = $34 per unit; required re effect of taxes. Ch11-2 Find the financial break-even quantity. ted. e how they were calculated. on, you may receive partial credit. tax effects in calculating the cash break-even. unting break-even quantity = 15,400 units; cash break-even sts = $34 per unit; required return = 10 percent. Ignore the

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