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How do you calculate with the inputs provided. Chapters 9, 10, 11 Year: 0 1 2 3 4 Investment: 1 Sales Inputs Equipment Cost Salvage
How do you calculate with the inputs provided.
Chapters 9, 10, 11 Year: 0 1 2 3 4 Investment: 1 Sales Inputs Equipment Cost Salvage Value, Year 4 Depreciation Per Year Units Sold Every Year Sales price per unit, Year 1 Annual change in sales price, after Year 1 Variable cost per unit (VC), Year 1 Annual change in VC, after Year 1 Fixed Cost (FC), Year 1 Annual change in FC, after Year 1 Project WACC Tax Rate Working Capital as % of next year's sales Base Case $ 3,400 $ 300 $ 850 550 $ 11.60 2.0% $ 6.00 2.0% $ 2,000 2.0% 11.85% 40.0% 12.0% Expenses: VC FC Depreciation Net Earnings BT $ $ $ $ Tax (40%) Net Income $ $ $ $ $ $ $ $ - - $ $ $ - $ $ Salvage Value Depreciation NOWC Net Cash Flow DCF NPV IRR Profitabilty Index Payback YearsStep by Step Solution
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