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Part A Given the following conventional cash flows, find the undiscounted payback, discount payback, net present value, IRR, MIRR, profitability index in Excel. Then, plot
Part A Given the following conventional cash flows, find the undiscounted payback, discount payback, net present value, IRR, MIRR, profitability index in Excel. Then, plot the NPV profile using the appropriate graphing function in Excel. Use 12.5% discount rate, and 5% reinvestment rate, wherever needed. Years, t 0 1-9 10 Cash flows, $ -1,000 160 1,160 Answers: Method Numerical answers (2 decimal places) Syntax in Excel Undiscounted payback, in years Discounted payback, in years NPV, in $ IRR MIRR Profitability index Submit the above table together with the graph. Domain (x-axis) of the graph to run from 0% through 20% in 1% interval. Put both items (table and graph) in one page. Part B Given the following unconventional cash flows, find: Time, t Cash flow, CFt, $m 0 -1 1 5.02 2 -9.4215 3 7.83365 4 -2.43425 i. The number of IRR's (cite which theorem you use to arrive at your answer) ii. Prove your answer in part i by plotting the NPV profile in the domain of 0% through 50%. Use 1% interval again. iii. Use the Solver function within Excel to find the discount rate at which the NPV is maximized. Answer Answer: Question No. of IRR's for the given cash flows series (an integer) Discount rate for maximum NPV is at _% (2 decimals) List all the IRR's (from small to large, in %) (2 decimals) Submit the above table with the graph in Excel. Put both items (table and graph) in one PDF page
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