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AUTOSave OFF 5 G - Chapter 11 HW Template View Tell me me Insert Draw Page Layout Formulas Data Review X Calibri (Body) 11 v ' ' == General BIU 2 Wrap Text Merge & Center y $ % 9 - ex fx N B D H K M P11-4 Modified (use the modified cash flows below and not the ones from the textbook) Year Alternative Alternative 0 $125,000.00 $50,000.00 Hinta: 1) First, calculate the NPV for each cash flow 1 $5,000.00 -$8,000.00 21 Secondly, use the PMT function to calculate the EAC 2 $5,000.00 $8.000.00 for the rate part of the calc use the discount rate 1 -$5.000.00 -$8,000.00 for the per part of the cale use the number of years in the cash flow 4 55,000.00 - for the part of thecalc use the NPV sure you calculated above 5 -$5.000.00 6 $5,000.00 $5,000.00 FOFPV. NPV- Use PMT function in Barcel to make the figure negative change your NPV to be powe 911-5 11-3M 11.12 P1122M P113 PM PETM PTT 24 SE esc ope 000 F4 3. F 1 A1 > fx A B D E F P11-4 Modified (use the modified cash flows belov 1 2 3 4 5 6 7 3 Hints: Year 0 1 2 3 4 5 6 7 Alternative A -$125,000.00 $5,000.00 $5,000.00 $5,000.00 -$5,000.00 -$5,000.00 $5,000.00 -$5,000.00 Alternative B -$50,000.00 -$8,000.00 $8,000.00 $8,000.00 Rate = FCF PV = NPV = EAC = Use PMT function in Exce 20 1 L2 13 14 15 16 17 a. 18 19 b. 20 21 22 23 24 25 26 27 28 29 7 (20,000) a. Calculate each project's EAC, given a 10 percent discount rate

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