Requirements:
a) Using the revised data for the alternative equipment, prepare a suitably presented spreadsheet that provides calculations for the following capital budgeting evaluation investment techniques:
- Net Present Value (NPV)
- Present Value Index
- Internal Rate of Return
- Payback period
- Unadjusted rate of return
b) At an appropriate place on your worksheet, provide a brief written assessment (no more than 300 words) as to whether the company should purchase this alternate equipment and why.
Your work should:
- use an appropriate layout and format.
- Make use of formulas and Excel's built-in functions, rather than hard code your answers.
- Be printed on no more than one page of letter sized paper.