I was just looking for help with this excel assignment. Every answer must be don

Question

I was just looking for help with this excel assignment. Every answer must be done in excel. I was not looking so much for answers to the questions but more so help on how to set these up, such as which excel functions to use and how to set them up. 1. Suppose we have a project with the following cash flows and required return. What is the NPV of the project? What is the IRR of the project? Graph the NPV profile. Year: 0, 1, 2, 3, 4, 5 Cash Flow: -$800; $100; $150; $200; $250; $300 Return: 5% 2. What is the IRR for the project with the following cash flows? Year: 0, 1, 2, 3, 4, 5, 6 Cash Flow: -$800,000; $450,000; $450,000; $450,000; $450,000; $450,000 3. You are analyzing the following two mutually exclusive projects. Graph the NPV profile of the following projects. What is the crossover rate? Year: 0, 1, 2, 3, 4, 5 Investment A: -$500; $100; $100; $150; $200; $400 Investment B: -$500; $250; $250; $200; $100; $50

Explanation / Answer

NPV=-800000+(450,000/1.05)+(450,000/1.05^2)+(450,000/1.05^3)+(450,000/1.05^4)+(450,000/1.05^5)= $1148264.502 IRR, 800000= (450,000/r)+(450,000/r^2)+(450,000/r^3)+(450,000/r^4)+(450,000/r^5) IRR=48.45%

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