Chapter 14: Applying Excel Data Example E Cost of equipment needed $60,000 Working capital needed $100,000 Overhaul of equipment in four years $5,000 Salvage value of the equipment in five years $10,000 Annual revenues and costs: Sales revenues $200,000 Cost of goods sold $125,000 Out-of-pocket operating costs $35,000 Discount rate 14% Enter a formula into each of the cells marked with a

Net present value (NPV) = $31,493

Explanation:

Note: This question is not complete. The complete question is therefore provided before answering the question. See the upper part of Sheet1 of the attached excel file for the complete question.

Also note: See the lower part of Sheet1 of the attached excel file for the answer to this question.

From the the lower part of Sheet1 of the attached excel, we have:

Net present value (NPV) = $31,493

definitely a

107x106 is the answer