Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1. Is the project still economically viable why or why not? 2. Is there any information that you think is missing? What do you think
1. Is the project still economically viable why or why not?
2. Is there any information that you think is missing? What do you think you need? Why?
Given as years 3 Recasted in year 3 Year 4 \begin{tabular}{l|rr|rr|r|} \hline RX Sales & $2,828,375.00 & $ & 2,404,118.75 & $2,163,706.88 \\ \hline Cost of goods sold & $2,151,576.00 & $ & 2,284,973.71 & $2,056,476.34 \\ \cline { 2 - 6 } & $676,799.00 & $ & 119,145.04 & $107,230.53 \\ \hline Cross Margin & $3.90% & 5.00% & 5.00% \end{tabular} \begin{tabular}{l|lr|r|rr|rr} Wages \& Salaries & $ & 203,693.00 & $ & 207,766.86 & $186,990.17 \\ \hline Benefits & $ & 40,739.00 & $ & 40,739.00 & $36,665.10 \\ \hline Supplies \& Materials & $ & 17,280.00 & $ & 17,280.00 & $ & 15,552.00 \\ \hline Contract Services & $ & 20,736.00 & $ & 20,736.00 & $ & 18,662.40 \\ \hline Depreciation & $ & 15,333.00 & $ & 15,333.00 & $ & 15,333.00 \\ \hline Intrest & & & & & $ & 21,000.00 \\ \hline Provision of bad debt & $ & 28,284.00 & $ & 28,284.00 & $ & 29,556.78 \\ \hline Unexpected Cost & & & $ & 35,435.00 & $ & 35,435.00 \\ \hline Misc. Expenses & $ & 5,184.00 & $ & 5,184.00 & $ & 4,665.60 \\ \hline Total Expenses & $ & 331,249.00 & $ & 370,757.86 & $363,860.05 \end{tabular} \begin{tabular}{l|r|rr|r} Net Income & $345,550.00 & $ & (251,612.82) & $(256,629.52) \\ \hline Operating Margin & 12.20% & 10.50% & 11.90% \end{tabular} Given as years 3 Recasted in year 3 Year 4 \begin{tabular}{l|rr|rr|r|} \hline RX Sales & $2,828,375.00 & $ & 2,404,118.75 & $2,163,706.88 \\ \hline Cost of goods sold & $2,151,576.00 & $ & 2,284,973.71 & $2,056,476.34 \\ \cline { 2 - 6 } & $676,799.00 & $ & 119,145.04 & $107,230.53 \\ \hline Cross Margin & $3.90% & 5.00% & 5.00% \end{tabular} \begin{tabular}{l|lr|r|rr|rr} Wages \& Salaries & $ & 203,693.00 & $ & 207,766.86 & $186,990.17 \\ \hline Benefits & $ & 40,739.00 & $ & 40,739.00 & $36,665.10 \\ \hline Supplies \& Materials & $ & 17,280.00 & $ & 17,280.00 & $ & 15,552.00 \\ \hline Contract Services & $ & 20,736.00 & $ & 20,736.00 & $ & 18,662.40 \\ \hline Depreciation & $ & 15,333.00 & $ & 15,333.00 & $ & 15,333.00 \\ \hline Intrest & & & & & $ & 21,000.00 \\ \hline Provision of bad debt & $ & 28,284.00 & $ & 28,284.00 & $ & 29,556.78 \\ \hline Unexpected Cost & & & $ & 35,435.00 & $ & 35,435.00 \\ \hline Misc. Expenses & $ & 5,184.00 & $ & 5,184.00 & $ & 4,665.60 \\ \hline Total Expenses & $ & 331,249.00 & $ & 370,757.86 & $363,860.05 \end{tabular} \begin{tabular}{l|r|rr|r} Net Income & $345,550.00 & $ & (251,612.82) & $(256,629.52) \\ \hline Operating Margin & 12.20% & 10.50% & 11.90% \end{tabular}Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started