I’m stuck on a Accounting question and need an explanation.

The LCC method of calculations should be shown on your spreadsheet, followed by responses to the posed questions

A Catholic school is considering refurbishing the lighting system in its administration building. After initial investigation, the school procurement office has narrowed down the options to two.

Both systems are expected to last for twenty years.

Assume that all costs are to be paid at the end of the year, and the real discount rate is 4 percent.

Create an Excel Spreadsheet in which you address the following:

  • Which lighting system should the school select based on financial considerations? Use the LCC method to address this question.
  • What is capital budgeting? How does it relate to the mission and strategic planning of a nonprofit?
  • What are the major sources of financing for capital projects?