Excel file showing the computation of cash flows, npv, and ir


Over lunch, you and Mary converge to argue next steps after a conjuncture the exposition purpose.

“Do we keep everything we want on sales and requires?” you ask. ”It must be space to estimate the net give estimate (NPV) and inside reprimand of revert (IRR) of the Apex exposition purpose.”

“We keep the facts from James and Luke respecting purposeed sales and requires, respectively, for the subsistence packaging purpose,” says Mary. “It is permissible to purpose that we allure hold a tax curb from this implementation. I keep knowledge from our audit immovable, which indicates that advenient derogation methods for taxes allure be straight-line; besides, the corporeprimand reprimands allure be feeble to 35% as we conjectured in our weighted mediocre require of aboundlent (WACC) reckoning.”

“That sounds amiable-natured,” you say.

“Right," says Mary. "You can use the WACC of 1% listed in the abound polish posted for the reckoning of the NPV and comparison for IRR."

“I’ve got the knowledge I want from Luke and James,” you say. "Does this contemplate just to you? Here’s what they gave me,” you say, as you index a prevarication of paper to Mary.

 

“Let’s contemplate at this now conjuncture we’re contemporaneously,” she says.

The knowledge you index to Mary shows the following:

  • Initial siege outlay of $30 darling, consisting of $25 darling for equipment and $5 darling for net inaugurated aboundlent (NWC) (tractile substreprimand and ink list); NWC salvable in ultimate year
  • Project and equipment life: 5 years
  • Sales: $25 darling per year for five years
  • Assume outrageous extremity of 60% (restricted of derogation)
  • Depreciation: Straight-line for tax purposes
  • Selling, open, and exerciseal expenses: 10% of sales
  • Tax reprimand: 35%

You abide your conference.

“It contemplates amiable-natured,” says Mary. “Use this knowledge from Luke and James to estimate the coin flows for the purpose.”

“No whole,” you say.

“Then, estimate NPV and IRR of the purpose using the Abound spreadprevarication I sent precedent today,” says Mary. “Use the IRR financial exercise for the reckoning of IRR.”

“Okay,” you say. "I’ll propose my Abound polish showing the reckoning of coin flows, NPV, and IRR by the end of week so you can contemplate at it balance the weekend.”

“Thanks,” says Mary.

To recap: Complete the aloft workprevarication for this assignment.

 

1. I HAVE ATTACHED THE EXCEL SPREADSHEET

FOR NPV AND COMPARISON FOR IRR.

2. I HAVE ALSO ATTACHED THE FINANCIAL STATEMENTSFOR THE COMPANY IN CASE YOU NEED THEM.

3. I HAVE ALSO ATTACHED THE SCENARIO OF THIS COMPANY IN CASE YOU NEED THEM AS WELL.

 

SO BASICALL WHAT I NEED IS A COMPLETE EXCEL FILE SHOWING THE COMPUTATION OF CASH FLOWS, NPV, AND IRR FROM THE ABOVE SCENARIO.