Please help with these questions! The dollar value (nearest $100) of cell II is

Question

Please help with these questions!

The dollar value (nearest $100) of cell II is
a) 26,400; b) 27,200; c) 28,800; d) 30,500.
10. The dollar value (nearest $100) of cell JJ is
a) -18,900; b) 26,000; c) 33,400; d) 37,200.
11. The dollar value (nearest $100) of cell KK is
a) -20,100; b) -8,300; c) 6,300; d) 26,700.

I. Initial Cost (P) = $450,000 2. Salvage value (SV)= $45,265 3. Annual operating revenues (AOR) = $300,000 4. Annual operating costs (AOC)= $180,000 5. Economic life (N) = 5 years 6. MARR= 10% 7. Inflation Rate=0% One-way Sensitivity Table Net Present Worth (NPW Parameters -15% -10%| -5% | Reference l +5% +10% +15% Scenario AOR AOC SV MARR

Explanation / Answer

NPV Calculation at CC Year Particulars Cashflow Discounting factor @10% Discounted cashflow 0 Inintial Cost $       (450,000) 1.00         (450,000) 1 Cashflow $ 120,000 0.91           109,091 2 Cashflow $ 120,000 0.83 99,174 3 Cashflow $ 120,000 0.75 90,158 4 Cashflow $ 120,000 0.68 81,962 5 Cashflow $ 120,000 0.62              74,511 5 Salvage value $ 45,265 0.62 28,106 NPV 33,000 NPV Calculation at II Year Particulars Cashflow Discounting factor @10% Discounted cashflow 0 Inintial Cost $       (450,000) 1.00         (450,000) 1 Cashflow $ 120,000 0.91           109,091 2 Cashflow $ 120,000 0.83 99,174 3 Cashflow $ 120,000 0.75 90,158 4 Cashflow $ 120,000 0.68 81,962 5 Cashflow $ 120,000 0.62              74,511 5 Salvage value $ 38,475 0.62 23,890 NPV 28,800 NPV Calculation at KK Year Particulars Cashflow Discounting factor @10% Discounted cashflow 0 Inintial Cost $       (450,000) 1.00         (450,000) 1 Cashflow $ 120,000 0.91           109,091 2 Cashflow $ 20,000 0.83 99,174 3 Cashflow $ 20,000 0.75 90,158 4 Cashflow $ 20,000 0.68 81,962 4.25 Cashflow $ 30,000 0.67 20,008 4.25 Salvage value $ 45,265 0.67 30,189 NPV           (20,100)

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