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Calculate the firm's WACC (using 2018 numbers). (You will need to collect information on the long-term debt and common stock equity from the Balance Sheet.
- Calculate the firm's WACC (using 2018 numbers). (You will need to collect information on the long-term debt and common stock equity from the Balance Sheet. The firm has no preferred stock).
- Use the WACC to calculate NPV and evaluate IRR for proposed capital budgeting projects. Assume the projects are mutually exclusive and the firm has the money available to fund the project.
12/31/2018 | |
Current Assets | |
Cash And Cash Equivalents | 8,719,000 |
Short Term Investments | 270,000 |
Net Receivables | 7,140,000 |
Inventory | 3,126,000 |
Other Current Assets | 2,042,000 |
Total Current Assets | 21,297,000 |
Long Term Investments | 2,407,000 |
Property Plant and Equipment | 17,587,000 |
Goodwill | 14,806,000 |
Intangible Assets | 15,823,000 |
Other Assets | 5,122,000 |
Total Assets | 77,042,000 |
Current Liabilities | |
Accounts Payable | 7,211,000 |
Short/Current Long Term Debt | 3,951,000 |
Other Current Liabilities | 6,601,000 |
Total Current Liabilities | 17,763,000 |
Long Term Debt | 28,293,000 |
Other Liabilities | 12,611,000 |
Total Liabilities | 58,667,000 |
Stockholders' Equity | |
Total Stockholder Equity | 18,375,000 |
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