Prepare the budgeted Balance Sheet for Jan 2X15. 35 pts. 4. Indicate the difference between NPV and IRR. 15 pts. 

The accounting net (tan) provide services for non-for-profit

BUDGETED BALANCE SHEET FOR JAN 2X15

Assets:
Cash $5,000
Accounts Receivable $2,500
Inventory $3,000
Prepaid Expenses $1,200
Property & Equipment $6,500
Total Assets $18,200

Liabilities and Equity:
Accounts Payable $1,100
Accrued Liabilities $600
Long-term Debt                        $4,400
Common Stock                            $10,000
Retained Earnings                     (-$3.700)
Total Liabilities & Equity            $18.200

NPV (Net Present Value) is a measure of the profitability of a venture that takes into account both the current cost as well as any potential future costs or savings associated with it. It is calculated by summing up the present value of all future cash flows minus the initial investment cost of the project. IRR (Internal Rate of Return) is a measure used to evaluate investments which looks at how much return an investor would receive if they invested in a particular project and held it until its completion date. It is expressed as a percentage rate which represents the maximum yield expected from investing in that particular venture.