Answer Happy

Invest Instructions: 1) Interpolate the Year 1 through Year 5 cash flows (in cells B6 through B10), assuming that the increase in cash follows a growth trend. (3) 2) From year 5 to Year 10, cash flows are estimated to grow from $980,000 to $1,100,000. Interpolate the yearly cash flow figures, assuming a linear trend, into cells B10 through B15). (3) 3) Extrapolate the cash flow estimates for years 11 - 15 (in cells B15 through B20) assuming a growth rate of 7% per year from year 10. (3) POINTS: 9

A B B C D E E F G 1 Witte Limestone WN 2 3 Cash Flow Projections for the New Berlin Quarry 4 un 5 Year Cash Flow $170,000 6 1 7 2 3 4 un 8 9 10 11 12 13 14 15 3 4 5 6 7 $980,000 8 OLCO 1 $1,100,000 16 9 10 11 12 13 1 17 1 14 18 19 20 21 Total 15 NS $2,250,000 22