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please show how todo this in excel please elaborate how you filled in the formulas. (no need to show 2b) excel ia still a little
please show how todo this in excel please elaborate how you filled in the formulas. (no need to show 2b) excel ia still a little confusing to me and im really tryign to figure out excel instead of a calculator. please help a sis out. Thank you in advance!
typo, should be: if the IRR on the graph does not look similar to your answer in 1d, either refo the graph or the calculation above.
just need help with 1c 1e 2a 2c 2d
no longer need any help for number 1.....2a 2b would be nice if someone could explain it
2 3 4 S 110.00 I sugest you do the assignment in Excel using Excel functions as it will be easier given you can just click on inputs. However, you can do this using financial fu For Exam 3 and 4, you will be do problems on an Excel worksheet and upload your file to show work, Put all X problems in 4 digits for example 5.46% and put all dollar problems with two digits $110.23 You will use the information in the first project for Problem 1 and #12 Costco is considering installing solar panels to power some of its stores. The expected cash flows from installing a limited amount of solar panels are below. Since this is a new venture, Costco is evaluating this as a five year project although it may be dedde to keep the solar panels long term. (These are in $ millions but don't add xeroes for simplicity.) This is a fictional project! Year 0 1 Free Cash Flow $ (500,00) 5 110.00 110.00 $ 110.00 $ 200.00 Note the initial Outlay of the project is $500,00 put it as a FCF for simplicity in calculating IRR information The required rate of the project is 5 1. Use the information above to analyze this project: 6a. What is the Net Present Value (NPV) of the solar panels? 7 b. What is the Profitability Index of the solar panels? 8. What is the Payback period of the Solar Panels? (regular not discounted) 9 d. What is the Internal Rate of Return (IRR)? 20 What is the Modified Internal Rate of Return (MIRR)? 21 Should Costco take this project? Why or why not? 7% 22 9% 23 2. You will graph the Net Present Value Profile of the above project using information below. 24 a. First find the Net Present Values at the following required rates (Absolute reference the cash flows to make this easier.) 25 required rate 0.00% 3% 6.00% 26 Net Present Value 27 6. Graph the NPV Profile of the above project using an XY scatter chart. (As in the book and lecture, this requires a line) 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 Label the axes of the above graph above 44 d Point out the Internal Rate of Return on the graph (Use Draw to point out and label) above 45 the IRR on the graph does not look similar to your answer inic other redo the graph or the calculation above 1,000.00 68 6. (Chapter 9: One piece of Cost of Capital question cost of debt 69 Hasbro (the toy company has long term traded bonds which you will use to estimate the cost of debt for Hasbro 70 Like all US Corporate bonds, Hasbro pays coupons semi-annually. However, the answer to cost of debt will be the same whether you do 71 the problem sem-annually or annually it will be different with Value of the bond!). So choose your method. 72 Bond rating Coupon rate Maturity year Current price as in bond lists 73 BBB 6.35% 2040 $120.71 Par $ 74 . What is the dollar coupon payment, numbers of periods and price in dollars? 75 coupon periods price 76 b.lf underwriters charge 1.2% of price to issue the bonds, what is the Net Proceeds of the above band? 77 Underwriter charge 1.20N 78 Net Proceeds? 79 What is the cost of debt for Hasbro based on the above bond? 80 cost of debt per year 81 d. Assuming Hasbro pays a rate of 21% in corporate taxes, what is the after tax cost of debt? 82 After tax cost of debt per year 2 3 4 S 110.00 I sugest you do the assignment in Excel using Excel functions as it will be easier given you can just click on inputs. However, you can do this using financial fu For Exam 3 and 4, you will be do problems on an Excel worksheet and upload your file to show work, Put all X problems in 4 digits for example 5.46% and put all dollar problems with two digits $110.23 You will use the information in the first project for Problem 1 and #12 Costco is considering installing solar panels to power some of its stores. The expected cash flows from installing a limited amount of solar panels are below. Since this is a new venture, Costco is evaluating this as a five year project although it may be dedde to keep the solar panels long term. (These are in $ millions but don't add xeroes for simplicity.) This is a fictional project! Year 0 1 Free Cash Flow $ (500,00) 5 110.00 110.00 $ 110.00 $ 200.00 Note the initial Outlay of the project is $500,00 put it as a FCF for simplicity in calculating IRR information The required rate of the project is 5 1. Use the information above to analyze this project: 6a. What is the Net Present Value (NPV) of the solar panels? 7 b. What is the Profitability Index of the solar panels? 8. What is the Payback period of the Solar Panels? (regular not discounted) 9 d. What is the Internal Rate of Return (IRR)? 20 What is the Modified Internal Rate of Return (MIRR)? 21 Should Costco take this project? Why or why not? 7% 22 9% 23 2. You will graph the Net Present Value Profile of the above project using information below. 24 a. First find the Net Present Values at the following required rates (Absolute reference the cash flows to make this easier.) 25 required rate 0.00% 3% 6.00% 26 Net Present Value 27 6. Graph the NPV Profile of the above project using an XY scatter chart. (As in the book and lecture, this requires a line) 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 Label the axes of the above graph above 44 d Point out the Internal Rate of Return on the graph (Use Draw to point out and label) above 45 the IRR on the graph does not look similar to your answer inic other redo the graph or the calculation above 1,000.00 68 6. (Chapter 9: One piece of Cost of Capital question cost of debt 69 Hasbro (the toy company has long term traded bonds which you will use to estimate the cost of debt for Hasbro 70 Like all US Corporate bonds, Hasbro pays coupons semi-annually. However, the answer to cost of debt will be the same whether you do 71 the problem sem-annually or annually it will be different with Value of the bond!). So choose your method. 72 Bond rating Coupon rate Maturity year Current price as in bond lists 73 BBB 6.35% 2040 $120.71 Par $ 74 . What is the dollar coupon payment, numbers of periods and price in dollars? 75 coupon periods price 76 b.lf underwriters charge 1.2% of price to issue the bonds, what is the Net Proceeds of the above band? 77 Underwriter charge 1.20N 78 Net Proceeds? 79 What is the cost of debt for Hasbro based on the above bond? 80 cost of debt per year 81 d. Assuming Hasbro pays a rate of 21% in corporate taxes, what is the after tax cost of debt? 82 After tax cost of debt per year Step by Step Solution
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