Sea Fun Corporation has recently placed into service some of the largest cruise ships in the world. One of these ships, the Dolphin, can hold up to 3,800 passengers, and it can cost $850 million to build. Assume the following additional information:

• There will be 330 cruise days per year operated at a full capacity of 3,800 passengers.
• The variable expenses per passenger are estimated to be $140 per cruise day.
• The revenue per passenger is expected to be $350 per cruise day.
• The fixed expenses for running the ship, other than depreciation, are estimated to be $80,000,000 per year.
• The ship has a service life of 10 years, with a residual value of $140,000,000 at the end of 10 years.

Required, using an Excel worksheet:

A. Determine the Annual Net Cash Flow from operating the cruise ship (must show all computations using Excel).

B. Determine the Net Present Value of this investment, assuming a 15% minimum rate of return (must show all computations using Excel).