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Please use excel and elaborate which formula you used and how you filled in the formula. Im still figuring out excel so its a little
Please use excel and elaborate which formula you used and how you filled in the formula. Im still figuring out excel so its a little confusing. Please help a sis out. Thank you in advance!
1)McDonalds has the final amount of debt and common stock(with no preferred stock)
Source: Todays $
Total debt $7,100.00 Millions
Common stock
market value $148,00.00 Millions
Total capital value $155,100.00 Millions
A) what is the weight on debt wb? _________
B) what is the weight on common stock wcs?_____________
2. McDonalds is considering investing in a new chain about food vegan restaurants.
The estimated cash flows (in millions) Of the restaurants are as follows:
Year. 0 1 2
Free Cash Flow -$1,100 $440 $385
(year 3)$330-free cash flow (year4) $275-free cash flow
The required rate on this project is estimated to be
A) what is the net present value of this project? ____________
B) what is the internal rate of return of this project?______________
C) what is the modified internal rate of return of this project? _______________
D) should McDonalds invest in the vegan restaurant chain? Wire why not? ________________
E) where are the net present value of the project using the following rates (first step in NPV Profile)
Required rate 0.00% 4.00% 8.00% 12% 16%
Net present value _______ _______ _______ ________ _______
i figured out the first question. if you could just answer the second one(with counter parts) thatd be awsome!:)
nvm figured it out
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