Calculate the payback period for the erp system

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Reference no: EM132121455

Question: 1) Set up anprofessionally formatted Excel spreadsheet for the data provided and perform the following calculations (assume that one-time costs occur now at time zero and assume that the initial investment is the sum of all the one time (initial) costs; also assume that the annual (recurring) costs and benefits occur at the end of each of Year's 1-5 (unless stated otherwise)):

a) Calculate the NPV of this project using 6% cost of capital.

b) Calculate the Return on Investment (ROI) for this project.

c) Calculate the Payback Period for the ERP system

d) If you used any Excel time value functions (e.g., NPV, PV, etc.) for (a), (b) or (c) above, "manually" test the results of the Excel functions by calculating the appropriate compounded discount rates and reperform the calculations that the Excel functions are calculating so that you have confidence in the Excel formula's.

e) Professionally format, then copy & paste relevant data/calculation results from this part (1) and use as an "Appendix A" in your memorandum in part 2. Reference relevant results from your analysis shown in the appendix as appropriate in your memo in part 2.

Information related to above question is enclosed below:

Attachment:- 1234567.rar

Reference no: EM132121455

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