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PLEASE HELP ASAP. Im on the verge of a breakdown with this homework. Question B 2 Metropolis Hospital System now purchases a new equipment. Its
PLEASE HELP ASAP. Im on the verge of a breakdown with this homework. Question B
Metropolis Hospital System now purchases a new equipment. Its cost is $ and its useful life is years. Assume that the salvage value of this equipment is $ if sold and get paid in year Metropolis Hospital System anticipates that this equipment will generate net revenue of $ in each of the years of service.
B Do a simple financial analysis using the Payback method points
ork back B Calculate the Accounting Rate of Return for this equipment. points
B Now calculate the Internal Rate of Return IRR points
B Now use the Net Present Value method slide of lecture to show that the IRR calculated in question B satisfies the condition that IRR makes the net present value to be zero. points
Question B
Suppose that you save $ each month in a saving account for one year. The annual interest rate is B You opt to deposit your saving at the beginning of the month. Calculate the future value of your total saving by the end of the year accordingly. points
B Now you opt to deposit your saving at the end of the month. Calculate the future value of your total saving by the end of the year accordingly. points
Question B points
Amanda's financial future is bright after Clemson! She has a wellpaid job. After paying all other expenses and substantial savings, she has about $ left for monthly payment of a mortgage loan. Assume the annual interest rate is and the loan term is years, use the payment function PNF in Excel to calculate the right size of a mortgage loan she can borrow so that she can make monthly payment with het remaining income for loan payment.
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