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NEED EXCEL SOLUTION:IN EXCEL FORMULA PLEASE We previously used the net present value function to find...

NEED EXCEL SOLUTION:IN EXCEL FORMULA PLEASE

We previously used the net present value function to find the present value of unequal cash flows. Now, you know exactly what net present value means: The present value of all outflows, plus the present value of all inflows. Unfortunately, as we will see, computer programmers don't understand net present value.

Suppose we have a project with the following cash flows and required return. What is the NPV of the project?

t Cash flow
0 $              (30,000)
1                     8,000
2                   10,000
3                   11,000
4                   17,000
5                   12,000
Return: 12%
NPV:
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Answer #1

Cash Flow 0 S(30.000.00) 1 $ 8,000.00 2 $ 10,000.00 3 $ 11,000.00 4 17,000.00 5 12,000.00 Return 12% NPV 10,557.31

Cash Flow 8000 10000 11000 17000 12000 10 Return NPV 0.12 NPV(C11,C5:C9)+C4 13

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