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I need help with the Excel formulas to find the NPV of three year leasing - 1000 sq. ft. of warehouse space needed for 1000
I need help with the Excel formulas to find the NPV of three year leasing
- 1000 sq. ft. of warehouse space needed for 1000 units of demand - Current demand =120,000 units per year - Binomial uncertainty: Demand can go up by 15% with p=0.5 or down by 15% with 1p=0.5 - Lease price =$1.50 per sq. ft. per year -Lease prices can go up by 10% with p=0.5 or down by 10% with 1p=0.5 - Revenue =$1.5 per unit of demandStep by Step Solution
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