1) What is the project?s cost of equity? What is the appropriate discount factor to use for evaluating the refrigerator project? 2) Forecast the project?s cash flows for the next eight years. What assumptions did you use? Use straight line depreciation for this case. 3) Use the appropriate capital budgeting techniques to evaluate the project. 4) Use the average demand scenario to evaluate the sensitivity of the project?s NPV with respect to sale price of the refrigerator and the cost of the compressor. There is no word limit, as most of the question will be answered on Excel.,Thank you. This is my first time using this site, and I found you by doing a Google search on the problem I was needing assistance with. I thought since the problem was already on your site, there was possibly a solution bank where someone had already completed the problem? I initially offer a lower price because I thought you could just send me a solution rather then having to re-do the problem. Thank you again for you assistance.,I don't see a difference between question 3 and question 4, as the table is exactly the same. Can you please explain this to me? What does this table say about the sensitivity, and the overall riskiness of the project?
Paper#3805 | Written in 18-Jul-2015Price : $25