From the course: Investment Evaluation
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Challenge 4: Calculate NPV using Microsoft Excel - Microsoft Excel Tutorial
From the course: Investment Evaluation
Challenge 4: Calculate NPV using Microsoft Excel
- [Instructor] Welcome to your 4th challenge. I'm in exercise file, 03_07_Challenge4. In this challenge, your goal is to determine the net present value using the Excel function in the scenario I'm about to lay out for you, then determine if the investment is a good one. Imagine that you have an opportunity to invest in a project that requires an overhead of $10,000. It's a bull market, so the discount rate is 11%. You're expecting the project to go on for 10 years, and return $1,700 a year in net cash flow. Would you take that project based on net present value? This challenge should take about five minutes to complete. Good luck!
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Contents
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The net present value equation2m 55s
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(Locked)
NPV using tables3m 36s
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Challenge 3: Calculate NPV using table values1m 23s
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Solution 3: Calculate NPV using table values1m 39s
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A fully worked out example4m 38s
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NPV using a Microsoft Excel formula1m 48s
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Challenge 4: Calculate NPV using Microsoft Excel42s
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Solution 4: Calculate NPV using Microsoft Excel1m 31s
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Pros and cons of NPV1m 32s
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Real talk: Net present value4m 56s
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