Context: Our hypothetical restaurant is a Pizzeria$-$Caf$.$ It serves a wide variety of pizzas and offers a range of beverages, including coffee and tea, along with a selection of desserts. This creates a casual, inviting atmosphere with rustic or modern decor, perfect for dining.

Daily Individual Spending $=$$$350$

Daily Income $=$$$44,800$

Annual Income$=$$$13,977,600($daily income $*312$ working days$)$

Instructions: $($Using excel formulas$)$

$1.$ Analyze pre$-$operational costs, operating costs, and revenues. Validate the logic and assumptions set forth in your data estimation.

$2.$ Build the project's net cash flows by period. Consider only the investment, income, expenses, and salvage value derived from the project.

Based on the previous results, determine the profitability indices of the project $($NPV$,$EAC IRR$).$

$3.$ Integrate the factors of depreciation, taxes, and inflation for the calculation of net cash flows per period in the defined planning horizon.

Depreciable Assets Investment $=$$$2\mathrm{.}285\mathrm{.}360,00$

Inflation $=5\%$

Taxes $=30\%$

There should be a table with the columns: Year, Net Cash Flow, Net cash flow with inflation $5\%,$ Depreciation, Taxable Income $,$Taxation, Net Cash flow after tax in Current Dollars, Net Cash flow after tax Constant, NPV$.$

$4.$ Determine the project profitability indices $($NPV$,$ EAC, IRR$)$ for the net cash flows obtained.

What if there were a higher or lower inflation? How does it affect the NPV and the IRR?

Chef Salary

Bartender Salary

Waiter Salary

Accountant Salary

Delivery people Salary

Cashier Salary

Licenses

Permits

Legals Costs

Insurance

Utilities $($electricity$,$ water, gas, internet$)$

Maintenance and repair costs

Security system

Cleaning Services

Point of Sale $($POS$)$ system

POS commision

Marketing

Rent

Menu design and printing

Kitchen equipment

Uniforms for staff

Food and beverage replenishment $($Materials$)$

Furniture and interior decor

Cleaning supplies

Plates and Cutlery

Office supplies

$-$ Annual Cost

$$216,000$

$$108,000$

$$73,200$

$$15,000$

$$73,200$

$$73,200$

$$3,245$

$$0$

$$5,000$

$$105,860$

$$60,000$

$$20,000$

$$4,000$

$$73,200$

$$1,500$

$$15,000$

$$540,000$

$$2,000$

$$1,000,000$

$$4,800$

$$3,000,000$

$$1,250,000$

$$17,680$

$$35,360$

$$1,000$

Recurrence $($how many times it was spent in the $20$ years$)$

$20$

$20$

$20$

$20$

$20$

$20$

$20$

$1$

$20$

$20$

$20$

$20$

$4$

$20$

$20$

$20$

$20$

$5$

$1$

$5$

$20$

$2$

$20$

$2$

$20$