CS 197: Lecture on P2P

Attached is the spreadsheet, and the course handout




  1. Compute for the NPV of the amount that the Government should get to keep the EquityIRR to 12%
  2. Modify the model to remove the negative cashflow in 2023 (explain how spreadsheet was modified).
  3. Compute for the minimal fare so that the EquityIRR will be reduced to 12%

Put your answers on a 1/4 sheet of yellow paper. To be submitted before class hours on Thursday. Be prepared to demonstrate how the answer was obtained.