Capital Budgeting Analysis Excel Model
  • Capital Budgeting Analysis Excel Model
Originally published: 20/06/2016 10:52
Last version published: 02/02/2018 14:50
Publication number: ELQ-58034-2
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Capital Budgeting Analysis Excel Model

This Excel Model allows you to do a basic capital budgeting analysis for a project, and compute NPV, IRR and ROI

Description
With this Capital Budgeting Excel Model, compute the equity analysis of a project by giving data on your initial investment, working capital, growth rates, cashflow details and discount rate.

- Prof. Aswath Damodaran

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This Best Practice includes
1 Excel Model File

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Further information

The objective of this Capital Budgeting Analysis Excel Model is to get the following output values:
- Net Present Value (NPV)
- Internal Rate of Return (IRR)
- Return on Capital (ROC)

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Discussion feed for Capital Budgeting Analysis Excel Model

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  • Kannan Arjunan
    I refer to the CBA excel modle (https://www.eloquens.com/account/products). My comments.

    1. The NPV (NPV = $47,928) is ok but the IRR must be
    IRR = 24.91%. The IRR is estimated using the NATCF (row 49) that does not include the salvage value for Equipment ($10,000) and Working Capital $14,641 in year 10.


    2. Had the salvage value added in Row 49 - NATCF then the row 50 and 51 are redundant. we can directly estimate NPV from the revised NATCF (plus salvage value) by using @NPV function.
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    • Gary Ostafin
      I downloaded template, but can't find actual template to use
      1arrow_drop_uparrow_drop_downReply reply
      • Manager Timothée Demoures
        Hi Gary!

        (As this seems to be more a technical issue), we will intervene instead of Prof. Aswath Damodaran.

        Here is the process to download your Capital Budgeting Analysis Excel Model (when signed in, and when having added the tool to your library):
        1/ Go to: https://www.eloquens.com/account/products
        2/ Then click on the blue link with the text "Capital Budgeting Analysis Excel Model"
        3/ Then on this page, scroll down until you find the big blue "download" button, and click on it
        4/ Go to your downloads folder on your MAC/PC and find the excel file there!

        Hope this helps!

        Let us know if you have any additional questions. You can reach out to us via Private Message here: https://www.eloquens.com/channel/eloquens-team

        Best,
        The Eloquens Team
        arrow_drop_uparrow_drop_downReply reply


      4.7 / 5 (136 votes)

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