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EXERCISE 1: Financial Models. This exercise is worth 5% of your final mark Your organization has several possible projects and wants you to make a
EXERCISE 1: Financial Models. This exercise is worth 5% of your final mark Your organization has several possible projects and wants you to make a recommendation about which projector projects you would recommend. Here is the financial information for your organization. Company information Revenue $200M Expenses $150M SGZA [Sales, General & Admin.) 532M Earnings $20M Available funds for new projects $15M Exercise 11 Melow are a number of projects 1) Which projects will you recommend to the organization and explain why you recommend the project 2) Explain why you are not selecting the remaining projects. Project A: Investment $4M, Inflation or Ox Returns Year 154.000.000 Year 2S 500,000 con Year S 500,000 3 $ Year 450 Proiect investment $12M, Inflation 8% Year 1 SR.000.000 : $ Year 2 $6,000,000 Year 3 $200,000 Year 4 $100,000 Project C: Investment $12M, Inflation 8% Year 1 54.000000 1 Year 2_S4.000.000 Year 3 $6.000.000 3 Project Investment $10M, Inflation 6% Year: $4,000,000 Year 2 $4,000,000 $ Year 3 $4,000,000 Year 454.000.000 Project Investment $20M, Inflation 0% YearSo Year 2 50 Year $12,000,000 3 Year 4 $12,000,000 $
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