ABC Enterprise would like to evaluate/analyze an investment proposal. Given the following: Investment amount - 450,000 (2022) Dividends / Revenue stream - 100,000 for the first year and an interval of 5,000 for the succeeding years Discount rate - 14% a. NPV for the period 2023 through 2029; b. Total NPV using manual computation; c. Total NPV using the Excel function; and d. IRR rate. EXCEL COMPUTATION

Principles of Accounting Volume 2
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Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 16EA: Project B cost $5,000 and will generate after-tax net cash inflows of $500 in year one, $1,200 in...
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ABC Enterprise would like to evaluate/analyze an investment proposal.
Given the following:
Investment amount - 450,000 (2022)
Dividends / Revenue stream - 100,000 for the first year and an interval of 5,000 for the succeeding years
Discount rate - 14%
a. NPV for the period 2023 through 2029;
b. Total NPV using manual computation;
c. Total NPV using the Excel function; and
d. IRR rate.
EXCEL COMPUTATION AND FORMULA

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