C) the internal rate of return is between what two whole discount rates (e.g, between 10%, and 11%, between 11% and 12% between 12% and 13% between 13%and 14%etc)? Can you help me solve this question with the table provided in excel?

Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter11: Risk-adjusted Expected Rates Of Return And The Dividends Valuation Approach
Section: Chapter Questions
Problem 4QE
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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 14B-1 and Exhibit 14B-2 (Use appropriate factor(s) from the tables provided.)
12
A
Chapter 14: Applying Excel
3 Data
4 Example E
Cost of equipment needed
Working capital needed
7 Overhaul of equipment in four years
56
8 Salvage value of the equipment in five years
9
Annual revenues and costs:
10
11
12
13
Sales revenues
Cost of goods sold
Out-of-pocket operating costs
Discount rate
$
$
$
$
69 69
$
$
$
410,000
30,000
30,000
35,000
425,000
235,000
65,000
C
16 %
Transcribed Image 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 14B-1 and Exhibit 14B-2 (Use appropriate factor(s) from the tables provided.) 12 A Chapter 14: Applying Excel 3 Data 4 Example E Cost of equipment needed Working capital needed 7 Overhaul of equipment in four years 56 8 Salvage value of the equipment in five years 9 Annual revenues and costs: 10 11 12 13 Sales revenues Cost of goods sold Out-of-pocket operating costs Discount rate $ $ $ $ 69 69 $ $ $ 410,000 30,000 30,000 35,000 425,000 235,000 65,000 C 16 %
C) the internal rate of return is between what two whole discount rates (e.g,
between 10%, and 11%, between 11% and 12% between 12% and 13%
between 13%and 14% etc)? Can you help me solve this question with the
table provided in excel?
Transcribed Image Text:C) the internal rate of return is between what two whole discount rates (e.g, between 10%, and 11%, between 11% and 12% between 12% and 13% between 13%and 14% etc)? Can you help me solve this question with the table provided in excel?
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