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Hey for this one I only posted the first questions charts. This is for a financial manegment class. If you solve this if you could
Hey for this one I only posted the first questions charts. This is for a financial manegment class. If you solve this if you could give me examples of the formulas for excell that would be greatly helpful as well I am really struggling with excell.
Replicate the following loan analysis scenarios from Chapter 9 in our text book on an Excel Spreadsheet using financial formulas where applicable, and submit your work by the due date Sunday, 12/1: (10 Points Total) 1. Illustration 9-7/8 (5 Points) 2. llustration 9-9 (using Excel) (5 Points) 257 $130,000 to start her catering business. The cash flows she Siu Ling is trying to raise $130,000 to start her cate projected for the next 5 years are as follows: less Jour Year Cash Flow 10,000 12.500 14,000 18,550 21,250 + sale value of 160,000 son can are In addition, she expects to be able to sell her business for $160,000 at the end of the 5- year period. Investor A has a hurdle rate of 15%. Can Siu Ling raise the amount of equity she needs for her venture? 10 answer the question requires a net present value (NPV) calculation with CFO as -150,000 and CF1 to CF5 as 10,000, 12,500, 14,000, 18,550, and 181,250 (21,250 + 160,000) respectively at a hurdle rate of 15%. cash zum using the calculator or Excel, NPV is -$1,928 which means that cash flow is $1,928 short of justifying the $130,000 investment. num Investor B has a lower hurdle $8,093. Thus, with a lower hurdle tion ting needs. sa lower hurdle rate at 13%. With this hurdle rate, NPV computes to be a lower hurdle rate, Siu Ling could raise the amount of money she can find "O of ILLUSTRATION 9-7 Raising the Optimum Amount of Equity Ling ruing to raise $130,000 to start her catering business. The cash flows she projects for the next 5 years are: Year hat makes 5-7 shows 7 positive. omewhere un investor urdle rate, Cash Flow 10,000 12,500 14,000 18,550 21,250 + 160,000 If she is seeking $130,000 in equity, what is the IRR? extra value an equity ownership on his part using the IRR calculation sequence on the calculator or the Excel formula, the answer is 14.60%. ess venture ILLUSTRATION 9-8 IRR AnalysisStep by Step Solution
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