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Chapter 9 - Master it! For this Master Il assignment, refer to the Conch Republic Electronics case at the end of Chapter 9. For your
Chapter 9 - Master it! For this Master Il assignment, refer to the Conch Republic Electronics case at the end of Chapter 9. For your convenience, we have entered the relevant values in the case such as the price, variable cost, etc. on the next page. For this project, answer the following questions: Equipment Pretax salvage val RAD Marketing study 32 500.000 3.500.000 750.000 200,000 Sales Cunas 65.000 50,000 15.000 610 15.000 24.499 12.49% 300 4,300,000 NWC percentage Required return 12 Fixed costs Dep EBT $32.500.000 13.975.000 4,300,000 4,644.250 593750 1151163 S6.227.488 4644.250 S10871.738 $41.000.000 17.6300 4,300,000 7,959 250 SIR.110.750 NK,762 $7.221.988 7.959 250 $15,181,233 554.000.000 22.220,000 4,300,000 5,684,250 520,795,50 7.278,513 $47.000.000 20,210.000 4,300.000 4,059 250 SIR1050 6,450,763 125.000 4.300,000 2250 S9250 3.164,963 S13171 2002250 Dep OCF 5,684.250 $19,201.488 4050 $16,039.235 NWC Beg $9.400.000 6.500.000 ($6,500,000 S6.500 200 (S1.700,000) MI MI MI 10,800,000 (52.600.000) S1000.000 9. $1,400,000 NWC CE 59.400,000 Net CF 54.171.738 S14235 S16,601.488 $17.40 Savage BV of equipment Taxes 7.250.750 1,312.7625 Salvage CF Cash flow 4,171,7375 13,412173 16.601.4375 17,439,2375 What is the profitability index of the project? What is the IRR of the project? What is the NPV of the project? How sensitive is the NPV to changes in the price of the new PDAT How sensitive is the NPV to changes in the quantity sold? Chapter 9 - Master it! For this Master Il assignment, refer to the Conch Republic Electronics case at the end of Chapter 9. For your convenience, we have entered the relevant values in the case such as the price, variable cost, etc. on the next page. For this project, answer the following questions: Equipment Pretax salvage val RAD Marketing study 32 500.000 3.500.000 750.000 200,000 Sales Cunas 65.000 50,000 15.000 610 15.000 24.499 12.49% 300 4,300,000 NWC percentage Required return 12 Fixed costs Dep EBT $32.500.000 13.975.000 4,300,000 4,644.250 593750 1151163 S6.227.488 4644.250 S10871.738 $41.000.000 17.6300 4,300,000 7,959 250 SIR.110.750 NK,762 $7.221.988 7.959 250 $15,181,233 554.000.000 22.220,000 4,300,000 5,684,250 520,795,50 7.278,513 $47.000.000 20,210.000 4,300.000 4,059 250 SIR1050 6,450,763 125.000 4.300,000 2250 S9250 3.164,963 S13171 2002250 Dep OCF 5,684.250 $19,201.488 4050 $16,039.235 NWC Beg $9.400.000 6.500.000 ($6,500,000 S6.500 200 (S1.700,000) MI MI MI 10,800,000 (52.600.000) S1000.000 9. $1,400,000 NWC CE 59.400,000 Net CF 54.171.738 S14235 S16,601.488 $17.40 Savage BV of equipment Taxes 7.250.750 1,312.7625 Salvage CF Cash flow 4,171,7375 13,412173 16.601.4375 17,439,2375 What is the profitability index of the project? What is the IRR of the project? What is the NPV of the project? How sensitive is the NPV to changes in the price of the new PDAT How sensitive is the NPV to changes in the quantity sold
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