You are the head of the project selection team at SIMSOX. Your team is considering three different projects. Based on past history, SIMSOX expects at least a rate of return of 20 percent. Given the following information for each project, which one should be SIMSOX's first priority? Should SIMSOX fund any of the other projects? (Use the NPV function in Excel to solve this problem. Negative amount should be indicated by a minus sign.) Project: Dust Devils Year Investment 460,000 0 1 2 3 Project: Ospry Year Investment 410,000 0 91234 Revenue Stream 0 12445O 3 40,000 330,000 430,000 Revenue Stream 0 Project: Voyagers Year Investment Revenue Stream 107,000 0 78,000 78,000 78,000 99,000 The NPV for Dust Devils is The NPV for Ospry is The NPV for Voyagers is How many projects should be funded? 47,000 25,000 82,000 66,000 134,000 Answer is complete but not entirely correct. $ 513,343 x $(197,591) X $ 82,662
You are the head of the project selection team at SIMSOX. Your team is considering three different projects. Based on past history, SIMSOX expects at least a rate of return of 20 percent. Given the following information for each project, which one should be SIMSOX's first priority? Should SIMSOX fund any of the other projects? (Use the NPV function in Excel to solve this problem. Negative amount should be indicated by a minus sign.) Project: Dust Devils Year Investment 460,000 0 1 2 3 Project: Ospry Year Investment 410,000 0 91234 Revenue Stream 0 12445O 3 40,000 330,000 430,000 Revenue Stream 0 Project: Voyagers Year Investment Revenue Stream 107,000 0 78,000 78,000 78,000 99,000 The NPV for Dust Devils is The NPV for Ospry is The NPV for Voyagers is How many projects should be funded? 47,000 25,000 82,000 66,000 134,000 Answer is complete but not entirely correct. $ 513,343 x $(197,591) X $ 82,662
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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give 1st and second part please
Transcribed Image Text:You are the head of the project selection team at SIMSOX. Your team is considering three different projects. Based on past history,
SIMSOX expects at least a rate of return of 20 percent.
Given the following information for each project, which one should be SIMSOX's first priority? Should SIMSOX fund any of the other
projects? (Use the NPV function in Excel to solve this problem. Negative amount should be indicated by a minus sign.)
Project: Dust Devils
Year Investment
460,000
0
1
2
3
Project: Ospry
Year Investment
410,000
0
91234
Revenue Stream
0
12445O
3
40,000
330,000
430,000
Revenue Stream
0
Project: Voyagers
Year Investment Revenue Stream
107,000
0
78,000
78,000
78,000
99,000
The NPV for Dust Devils is
The NPV for Ospry is
The NPV for Voyagers is
How many projects should be funded?
47,000
25,000
82,000
66,000
134,000
Answer is complete but not entirely correct.
$ 513,343 x
$(197,591) X
$ 82,662
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