2. The company is considering a project involving the purchase of new equipment. Change the data area of your worksheet to match the following: Use Exhibit 148-1 and Exhibit 148-2. (Use appropriate...


2. The company is considering a project involving the purchase of new equipment. Change the data area of your worksheet to match<br>the following: Use Exhibit 148-1 and Exhibit 148-2. (Use appropriate factor(s) from the tables provided.)<br>A<br>Chapter 14: Applying Excel<br>3.<br>Data<br>4.<br>Example E<br>5.<br>Cost of equipment needed<br>310,000<br>6.<br>Working capital needed<br>20,000<br>7.<br>Overhaul of equipment in four years<br>2$<br>30,000<br>8.<br>Salvage value of the equipment in five years<br>35,000<br>9.<br>Annual revenues and costs:<br>415.000<br>10<br>Sales revenues<br>270,000<br>11<br>Cost of goods sold<br>%24<br>55,000<br>12<br>Out-of-pocket operating costs<br>16 %<br>13 Discount rate<br>a. What is the net present value of the project? (Negative amount should be indicated by a minus sign. Round your present value<br>factor to 3 decimals and round all other intermediate calculations to nearest whole dollar.)<br>Net present value<br>

Extracted text: 2. The company is considering a project involving the purchase of new equipment. Change the data area of your worksheet to match the following: Use Exhibit 148-1 and Exhibit 148-2. (Use appropriate factor(s) from the tables provided.) A Chapter 14: Applying Excel 3. Data 4. Example E 5. Cost of equipment needed 310,000 6. Working capital needed 20,000 7. Overhaul of equipment in four years 2$ 30,000 8. Salvage value of the equipment in five years 35,000 9. Annual revenues and costs: 415.000 10 Sales revenues 270,000 11 Cost of goods sold %24 55,000 12 Out-of-pocket operating costs 16 % 13 Discount rate a. What is the net present value of the project? (Negative amount should be indicated by a minus sign. Round your present value factor to 3 decimals and round all other intermediate calculations to nearest whole dollar.) Net present value

Jun 07, 2022
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