Please explain thoroughly using Excel and show formulas. Consider the following projects. Project C0 C1 C2 C3 C4 C5 A -1,000 +1,000 0 0 0 0 B -2,000 +1,000 +1,000 +4,000 +1,000 +1,000 C -3,000 +1,000 +1,000 0 +1,000 +1,000 Assume that this firm’s  beta= 1.5  The expected market return is 12%.  The risk free rate is 2.5%.  This company can borrow debt at 5.2%.  The firm has $5 billion in debt. It has 6 billion shares outstanding  at $3 price/shr.  The corporate tax rate (Tc) = 21% Question: What is the NPV of project B ? Multiple Choice   A. The NPV for project B is $2,158 B. The NPV for project B is -$128 C. The NPV for project B is $3,458 D. The NPV for project B is -$122

Below are four cases that you will have to solve using Excel spreadsheets. 2nd case The COMPETIDORA SA company has the possibility of investing in three different projects . The projections show us the following information on which a decision must be made: PROJECT X Y Initial Z$310,000 It is requested: investment $180,000 $250,000 Year 1 cash flows $50,000 $80,000 $150,000 1. Determine the internal rate of return. 2. Determine the present value. Year 2 cash flows 3. Determine the recovery period. 4. Define which is the most viable project. $70,000 $80,000 $120,000 The discount rate for the project will be 9% and the investors propose a MARR of 22%. Year 3 cash flows $80,000 $80,000 $100,000 Year 4 cash flows $100,000 $80,000

USE EXCEL TO SHOW FORMULAS   Elizabeth Corporation is starting two new projects. Project A requires an investment of $5,000, has expected return of 16% with standard deviation 14%. Project B has initial investment of $15,000, expected return of 15% with standard deviation 10%. The correlation coefficient between the projects is 0.75.   1- Find the expected return, in dollars, of the portfolio of these two projects.   2- What is the probability that this return is less than $4,000?

not use excel