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It is in excel. Can you help me? Payback, NPV, and IRR. Rieger International is evaluating the feasibility of investing $95,000 in a piece of
It is in excel. Can you help me?
Payback, NPV, and IRR. Rieger International is evaluating the feasibility of investing $95,000 in a piece of equipment that has a five-year life. The firm has estimated the cash inflows associated with the proposal, as shown in the following table. The firm has a 12% cost of capital. a. Calculate the payback period for the proposed investment. b. Calculate the discounted payback period for the proposed investment. c. Calculate the net present value (NPV) for the proposed investment. d. Calculate the profitability index for the proposed investment. e. Calculate the internal rate of return (IRR), rounded to the nearest whole percent, for the proposed investment. f. Calculate the modified internal rate of return (MIRR), rounded to the nearest whole percent, for the proposed investment. g. Evaluate the acceptability of the proposed investment using NPV, IRR, and MIRR. Calealata the disenunted navhark neriad for tha nmanosed investment Calculate the net present value (NPV) for the proposed investment. d. Calculate the profitability index for the proposed investment. Cost of capital \begin{tabular}{|c|c|} \hline Period & Cash flows \\ \hline 0 & \\ \hline 1 & \\ \hline 2 & \\ \hline 3 & \\ \hline 4 & \\ \hline 5 & \\ \hline PI = & \\ \hline \end{tabular} c. Calculate the internal rate of return (IRR), rounded to the nearest whole percent, for the proposed \begin{tabular}{|l|l|l|l|l|l|l|} \hline & CF0 & CF1 & CF2 & CF3 & CF4 & CF3 \\ \hline & & & & & & \\ \hline IRR & & & & & & \\ \hline \end{tabular} f. Calculate the modified internal rate of return (MIRR), rounded to the nearest whole percent, for the proposed Cost of capital \begin{tabular}{|c|c|} \hline Period & Cash flows \\ \hline 0 & \\ \hline 1 & \\ \hline 2 & \\ \hline 3 & \\ \hline 4 & \\ \hline 5 & \\ \hline MIRR- & \\ \hline \end{tabular} 8. Evaluate the acceptability of the proposed investment using NPV, IRR, and MIRRStep by Step Solution
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