Question

Please answer with how to calculate in excel.

Formatting" Table Styles Wainright Co. has identified an investment project with the following cash flows. If the discount rate is 10 percent, what is the present value of these cash flows? What is the present value at 18 percent? At 24 percent? Discount rate Discount rate Discount rate 10% 18% 24% Year Cash flow 1 $720 930 1,190 1295 Complete the following analysis. Do not hard code values in your answers. Value today at 10% Value today at 18% Value today at 24% EFR Sheet1 ④ 豳ロ凹 100% 2.0

Answer 1

BC BD BE BF BG BH Discount Rate Present value = cash flow / (1+rate)Atime Time CASH FLOW $ 720.00 $ 930.00 S 1,190.00 $ 1,275.00 Present value $ -$ 654.55 768.60$ 894.06 870.84 Total present value 3,188.05 Discount Rate Present value cash flow/(1+rate)Atime Time CASH FLOW $ 720.00 $ 930.00 S 1,190.00 $ 1,275.00 Present value $ -$ 610.17 667.915 724.27 657.63 Total present value 2,659.98 Discount Rate 24% Present value cash flow/ (1+rate)AtimeTime CASH FLOW $ 720.00 $ 930.00 S 1,190.00 $ 1,275.00 Present value $ -$ 580.65 604.84$ 624.14 539.29 Total present value 2,348.92

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