Calculate the npv of the homenet project

Assignment Help Financial Management

Reference no: EM132043113

Using the FCF projections below to calculate the NPV of the HomeNet project assuming a cost of capital of: Please show how it is calulated in Excel. Only way it can be plugged in.

a.	10%
	b.	12%
	c.	14%
	d.	What is the IRR of the project?

		Year	0	1	2	3	4	5
		FCF	-$16,500	$2,470	$6,580	$10,422	$12,860	$3,843

	a.	10%

		NPV ______(Answer)

	b.	12%

		NPV________(Answer)

	c.	14%

		NPV_____(Answer)

	d.	What is the IRR of the project?

		IRR _____(Answer)
	Please show excel calulations.

Requirements

1. To calculate the net present value of the project for part (a), you will use the function NPV. In cell D15, by using the function NPV and relative and absolute references, calculate the net present value of the project for part (a).

2. To calculate the net present value of the project for part (b) and (c), copy cell D15 and paste it onto cells D19 and D23.

3. To calculate the internal rate of return of the project, you will use the function IRR. In cell D27, by using the function IRR and cell references, calculate the internal rate of return of the project.

Reference no: EM132043113

Questions Cloud

Estimate the mean and standard deviation of present : Annual costs for operating and maintaining the machine are estimated to be $14,000. MARR (Minimum attractive rate of return) is 10% per year.

Why do people categorize : Why do people categorize? Do you think you can escape categorization? If not why?

Explain the importance of the phineas gage study : Explain the importance of the Phineas Gage study. What is the hypothalamus and what role does it play?

Busy private practice : What do you do in the following senerio? You happen to have a busy private practice. You happen to have physicians and attorneys as clients.

Calculate the npv of the homenet project : To calculate the net present value of the project for part (b) and (c), copy cell D15 and paste it onto cells D19 and D23.

Relationship between conscientiousness and health : What is the relationship between conscientiousness and health. Can conscientiousness can be improved?

Physicians and attorneys as clients : What steps should be followed from the following scenerio? You happen to have a busy private practice. You happen to have physicians and attorneys as clients.

Average scores on the survey : Group of people who own pets and a group who do not, and compare their average scores on the survey. What type of validity are you trying to establish?

Did its total assets increase or decrease over the last year : Did its total assets increase or decrease over the last year? What was the percentage change? What was the largest asset?

User Account

All Pages