Assignment — Lab C · Measuring returns (student instructions) · FinE Investment Planning G2.2 v0.7 (Early Release)
File: the HTML file your instructor attached (Assessment version for graded work). It works offline and saves nothing: copy your export before closing the tab. Parameter set: __________ (your instructor fills in, e.g., PS-C1, ADOPTED v1.0). Client: Casey (fictional). Every number is a hypothetical teaching value. Submit: one Compact submission export, copied at the very end (step 8).
Order matters. Changing the calculation menu or the parameter set clears the sensitivity table. Do the steps in this order, make the sensitivity table your last calculation, and do not change the calculation or parameter set after step 6.
| Step | What to do | Activity |
|---|---|---|
| 1. Extension first (only if assigned) | Choose "IRR of a cash-flow pattern". Load each pattern CP-1…CP-7 from the pattern menu and press Calculate each time. Note what can and cannot be said about each IRR (you will write it in step 7) | C-6 |
| 2. Restore your set | In Parameter set, choose any other set, then choose your assigned set again. This restores the set's original values (your calculations stay listed) | — |
| 3. Calculate | Run: holding-period return; cumulative return; arithmetic and geometric means; APR → EAR; time-weighted return (per period); money-weighted return (per period) | C-1 to C-4 |
| 4. Verify by another method | In "Model output to compare with", choose one result, then type your own value for that same measure in "Your result" (for example, if you choose the TWR per period, enter your TWR per period). Write your spreadsheet formula, calculator keystrokes or hand steps in Method | V-1 |
| 5. Critique | Choose the critique item your instructor assigns (AIC-C1, C2 or C3) and explain its single error and the correct reasoning | AI-1 |
| 6. Change one assumption (last calculation) | Choose "Net present value of a cash-flow pattern" and press Calculate (the cash flows and discount rate are your set's values). In the sensitivity table choose "Discount rate per period" and enter the three rates your instructor names: __________ (percent per period). Do not change the calculation or set after this step | C-5 |
| 7. Interpret and explain | Write: what changed in the sensitivity table and where the NPV changes sign; why TWR and MWR differ for this history (compare per period with per period); the meaning of any IRR state without a number (from step 1, if assigned); a plain-language explanation for Casey (about 150–250 words); a short technical note | C-4, C-5, (C-6), K-1 |
| 8. Submit | Choose Compact submission, press Copy export text (in the Practice file: Copy learning record), and submit the copied export using the instructor-designated submission method (e.g., an LMS, course page, or secure instructor-approved channel). Check that the sensitivity rows appear in what you submit | — |
Rules: do not promise returns, rank investments or recommend products; state your assumptions; a result the tool cannot determine is a valid conclusion if you explain it.