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Please help with the highlighted cells and the answers down below. AutoSave On FINC 312 - Fall 2021 - Assignment 8 - NPV and PI
Please help with the highlighted cells and the answers down below.
AutoSave On FINC 312 - Fall 2021 - Assignment 8 - NPV and PI (1) - Saved - Search A Elizabeth Roush ER File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments AutoSum w 11 - A A == == Pro 29 Wrap Text General DEX 27 Calibri BIU Paste Fah) LEN Analyze Data OA E Merge & Center $ -% -% Insert Delete Format X Out [Copy Format Painter Clipboard > X Clear Conditional Formatas Cell Formatting Table Styles Styles Sort & Find & Filter Select Eciting Font Alignment Number Colis Analysis G3 f ! K L M N O P 1 Q R S V W X Y 2 A B C D E 1 1 1 1 1 1 1 2 2 2 2 1.5 1.5 1.5 A B C D 0 E H 1 FINC 312 - Fall 2021 2 Chapter 8 Assignments 31 4 this gament uses Net Present Value and the Profitability Index to sve 5 at Capital Hatining 7 You are a manager with an investment budset - $8 Million Year 1 & You may Invest in the following projects Year 2 o Investment and Cash Flow figures are in Millions of Dollars. Year 10 Yeart 11 Discount Annual Projecte Yes 5 12 Project Rate Investment Cash Flow (years) Yearb 13 Year 14 A 10 3 1 3 Year 3 IS B 12 4 1 16 c 5 2 4 17 R 3 1.5 3 18 C 12 3 1 1 6 Investment 19 20 Calculate the Net Present Value and profitability Index for each project. NPV 21 22 PI 23 24 Based on that information: 1. Which projects should you choose assuming the sami budget? 25 26 2. Which projects would be chosen if there is no capital talioning 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 $3.79 $4.97 $6.612 $3.87 $4.11 Use the NPV formula in this call to arrive at the present value of the cash in flows 3 1 5 3 3 $0.79 $0.97 $1.02 $0.87 $1.11 The amount from row 10 less the investment NPV 1.79 1.97 2.62 1.87 Yes or No Yesur Nu 20 30 31 32 30 34 35 30 37 Assignment + Ready 30% 5 O IN 3 w ? 71'E Sunny A EX 3:05 PMStep by Step Solution
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