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Given: Standalone Store in a Store Initial Investment $ 2,400,000.00 $ 900,000.00 Life (years) 7.00 5.00 Customers per year $ 200,000.00 $ 100,000.00 Customer bill
Given:
| Standalone | Store in a Store | |
| Initial Investment | $ 2,400,000.00 | $ 900,000.00 |
| Life (years) | 7.00 | 5.00 |
| Customers per year | $ 200,000.00 | $ 100,000.00 |
| Customer bill per visit | $ 18.00 | $ 14.00 |
| Food and drink cost per customer | $ 1.30 | $ 1.30 |
| Other VCR as percentage of Sales | 65% | 46% |
| Total Fixed Costs per year (Excluding D) | $ 450,000.00 | $ 350,000.00 |
| Depreciation expense per year | Straight Line | Straight Line |
| Tax rate | 18% | 18% |
| CAPM Beta | 1.3 | |
| Risk Free Rate | 1.50% | |
| Market Risk Premium | 5.50% |
What is the NPV of each store concept? SHOW IN EXCEL with FORMULAS
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