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Can you please help me determine NPV and discount factors for all years? 9

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Can you please help me determine NPV and discount factors for all years?
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1:14 7
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Done
5 of 5
2. Calculate net cash flow, discount value, and NPV (yellow
highlighted cells) using the formulas given (Figure 1).
3. Calculate totals (inflow, outflow, net flow, and NPV) using the
given formula for SUM (yellow highlighted cells in Row 8).
A
B
C
E
F
G
H
1
Project A
Net
Net
Discount Present Inflation
2
Year
Inflow
Outflow
Flow
Factor
Value
Rate
w
*2011
SO
$100,000
0.02
2011
$50,000
0.02
2012
$25,000
$50,000
0.02
2013 $120,000
SO
0.02
2014
$200,000
$15,000
0.02
8
9
10
11 Net flow
Inflow – Outflow (=B3-C3)
*Discount Factor at the
12 beginning of the project
=1/(1+0.12+G3)^0
Discount Factor at the end
13 of year 1
=1/(1+0.12+G5)^1
14 Discount Factor for year2 =1/(1+0.12+G5)^(A5-2010)
15 Discount Factor for year3
=1/(1+0.12+G5)^(A6-2010)
16 Discount Factor for year4
=1/(1+0.12+G5)^(A7-2010)
17 NPV
=D3*E3=F3 (copy formula through column F for each year)
18 Totals
=SUM(B3:87), =SUM(C3:07), =SUM(D3:07), =SUM(F3:F7)
19
20
Figure 1 – Excel worksheet with formulas
4. Determine your assumption cells. In this case we are using cash
inflow and inflation rate.
5. Define the assumptions using Crystal Ball. The assumption cells
are input cells that contain values we are unsure of; the independent
variable of the problem we are trying to solve. The cell must contain
simple numeric values, no formulas or text.
a. To define the assumption cells for the cash inflow we use
the Triangular distribution. This distribution is used when we know
very little about the input values, but we can roughly estimate the
minimum, maximum, and most likely values – thus creating a
triangle. Crystal Ball will also calculate the minimum and maximum
values automatically based on your most likely estimate which is the
value you are using in the spreadsheet. Click here for a short video
c

 
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