Question
Hi, I need to finish this assignment by 1/16/2016. Instruction as below: Organizational Analysis & Design Plan: Project Description and Scoring Guide In Module Two,
Hi, I need to finish this assignment by 1/16/2016.
Instruction as below:
Organizational Analysis & Design Plan: Project Description and Scoring GuideIn Module Two, you will submit a draft of the Time Value of Money section of the final project, along with your supporting explanations. Submit your calculations on the designated tab of the Final Project Student Workbook and your supporting explanations as a Microsoft Word document. This milestone will be graded with the Milestone One Rubric.
The assignment is to calculate the Time Value of Money of Home Depot in excel format (Student Workbook).
Here's the link of Home Depot 10k report:
http://www.sec.gov/Archives/edgar/data/354950/000035495015000008/hd-212015x10xk.htm#s4E96E662C03DD2741C1C4F74E859548F
Milestone One: Time Value of Money FCF1 FCF2 FCF3 Amounts Pv $0.00 Total Pv $0.00 $0.00 $0.00 Interest Rate FCF4 FCF5 $0.00 $0.00 Milestone Two: Stock Valuation and Bond Issuance Growth D1 = D2 = D3 = x x x = = = Sum 0 0 0 0 Milestone Three: Capital Budgeting Data Interest Rate Initial Outlay FCF1 FCF2 Amount NPV $0.00 IRR Err:523 FCF3 FCF4 FCF5 Milestone Four: Microeconomic Items Time Value of Money A. Calculate the following time value of money figures: Calculate the present value of the company based on the given interest rate and expected revenues over time. Suppose the risk of the company changes based on an internal event. Recalculate the present value of the company. Suppose that a potential buyer has offered to buy this company in five years. Based on the present value you calculated above, what would be a reasonable amount for which the company should be sold at that future time? B. What are the implications of the change in present value based on risk? In other words, what does the change mean to the company, and how would you, as a financial manager, interpret it? Be sure to justify your reasoning. C. Based on the future value of the company that you calculated, and being mindful of the need to effectively balance portfolio risk with return, what recommendation would you make about purchasing the company as an investment at that price? Be sure to substantiate your reasoning
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