Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. please provide answers in excel with formulas foll

Please provide answers in EXCEL with formulas following the format provide below. Thank you ...

50.1K

Verified Solution

Question

Finance

Please provide answers in EXCEL with formulas following the format provide below. Thank you
An investment firm has a new security for sale. You pay them $200,000 today and the company
will give you back $20,000 at the end of the first year, $25,000 at the end of year 2,$30,000 at
the end of year 3,dots,$55,000 at the end of year 8, and $60,000 at the end of year 9.[Total 14
Points]
a. Calculate the NPV of this investment if the discount rate is 10%.[3 points]
b. Calculate the IRR of this investment. [2 points]
c. Use the IRR computed in part B above as the discount rate and compute a loan
amortization table for the investment. [5 points]
d. Assume the discount rate for the first five years is 8%, but for the last four years it is
12%. What is the NPV of the investment? [4 points]
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Statistics
1.2K views

A family consisting of four persons—A, B, C, and D—belongs to a medical clinic that always...

Basic Math
1.2K views

A runner s racecourse has a total distance of 2 5 mi Race officials want...

Basic Math
1.2K views

5 Identify any asymptotes How do they apply to the real world situation

Basic Math
1.2K views

Convert 4 32 to 432 10 3 4 32 10 6 4 32 10 3...

Calculus
1.2K views

1 point a Find the general solution to y 3y 0 Give your answer as...

Algebra
1.2K views

17 Solve this equation x 12x 20 Type your answer as without spaces or Cannot...

Algebra
1.2K views

A culture of bacteria triples by the end of each hour If there were initially...

Accounting
1.2K views

2. Management is what a manager does. A. O Peter F Drucker B. O Terry...

Accounting
1.2K views

i cant figure out entries for 8th or 20th, please explain how to get correct...

Accounting
1.2K views

The Equipment were at an actual cost of $398,959. The invoice was approved for payment.

Accounting
1.2K views

Fart B Probkm () 07 sarke Dabail Company was organised on ne ondertoevalualeand comol inventory...

Accounting
1.2K views

Terra Corp. purchased a new enterprise software system and incurred the following costs: Cost of...