1) In Excel, determine the projects expected NPV and the standard deviation of NPV for the scenario. 2) In a Word document, explain whether or not each of the following decisions would improve or increase the ratio provided.
Im working on a Excel exercise and need support.
Assignment 1
In a project to purchase a surgical robot, QVC AMC has asked you to conduct an analysis to determine the impact that the number of cases has on NPV. Given a 12% cost of capital and the following information:
|
Table 6. Example Data |
||||
|
|
Worst Case |
Most Likely |
Best Case |
|
|
Year |
# of case 1 Prob.=.25 |
# of cases 2 Prob. =.50 |
# of case 3 Prob.= .25 |
|
|
0 |
($2,000,000) |
($2,000,000) |
($2,000,000) |
|
|
1 |
$750,000 |
$1,300,000 |
$1,500,000 |
|
|
2 |
$1,600,000 |
$1,800,000 |
$1,900,000 |
|
|
3 |
$1,100,000 |
$1,000,000 |
$1,200,000 |
|
Create an Excel workbook with two tabs in which you answer/solve the following (be sure to label tabs accordingly):
1.What is the projects expected NPV on the basis of scenario analysis?
2.What is the projects standard deviation of NPV?
Length: One Excel Workbook
Assignment 2
QVC AMC has a current ratio of 0.4. In a one- to two-page Word document, explain whether or not each of the following decisions would improve or increase this ratio:
1.Use cash to pay off current liabilities.
2.Collect on current outstanding accounts (accounts receivable).
3.Purchase additional medical supplies on credit (accounts payable).
4.Sell some of its medical supplies at cost.
Length: 1-2 page summary
References: Include a minimum of 3 scholarly resources