Economic
CEGR 2102 Engineering Economics
Fall 2013
Project 2: Excel Project
Listed below are three projects with their revenues listed per year. For each project, create a MS Excel spreadsheet to determine its Net Present Value and find ALL Internal Rate of Return (IRR) values. Show graphically Interest versus Present Worth. Each project scenario should be on a separate worksheet within the one MS Excel file. You will submit the file electronically on Moodle for Project 2.
|
Year |
Case 1 (Cash Flow $) |
Case 2 (Cash Flow $) |
Case 3 (cash Flow $) |
|
0 |
-1000 |
-6000 |
-1500 |
|
1 |
1000 |
-3000 |
6500 |
|
2 |
750 |
15000 |
-8200 |
|
3 |
500 |
2000 |
3300 |
|
4 |
250 |
5000 |
-1000 |
|
5 |
2000 |
12000 |
-500 |
Your MARR is 10%. Compare your spreadsheet results with hand calculations (show hand calculations on green engineering paper). Indicate whether each project met your MARR. Hand calculations shall be turned in on the due date.