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L o P R The resulting Free Cashflow M The description and analysis of the tax shield resulting from the investment The description of the

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L o P R The resulting Free Cashflow M The description and analysis of the tax shield resulting from the investment The description of the method used to carry the projections on Current Asset and on Accounts Payable, as well as the underlying logic behind it. The analysis of the Asset and Net fixed assets: no investment scenario investment scenario The analysis of the Debt (Short-term Liabilities and Long-term liabilities) in: no investment scenario s investment scenario T The analysis on the Retained Earnings under both scenarios, for both years (YI & Y2) For both years (YI & Y2) analyse the resulting Balance Sheet and Excess/Needs for the "no investment scenario" The resulting Balance Sheet and Excess/Needs for the "investment scenario" The preferred alternatives for the use (or allocation) of the Excess (or Needs) of Funds in w "No investment scenario" with specification of both years (YI & Y2) "Investment scenario" with specification of both years (Yl & Y2) Y The resulting differences in the overall Cash-Flow of the company between investing or not investing z Based on all of the above, the student's recommendation to the company CEO on completing the investment or not. U v Initial Value Loan 1/1/1 15,000 15,000 1.000 Investment Loan Data Annual Pt 31/12/11 3.750 Salvage Duration Duration Interest 09 Y1 YS Y6 14,000 Outstanding 92 11.250 450 t Loss Duration Dep Expense Y3 7.500 3006 3,750C 4,050 Y4 3.750 150 3,750 3.900 15.000 6000 3.750 4,350 C 2.800 Pmt SOD 3,750C 4.2006 C 80.00 Costs Margin 75.0 25.0 77.0% 23.0% 75.0% 25.0% 74.5 25.596 720% 280W 20.09 Always check sales evolution Always check costs evolution Cou TotalSales Operational cost EBITDA A Depreciation "A" Without investment and loan (Scenario A) YO Y 20,000 23.0000 25.000 172710 5,000.00 5.290.00 1.906.00 1.906.000 150.00 L.150.000 1,944.00 2,234.000 583.2016 1.360,00 1,563.800 3,266,80 3,469.80 384,52 1,016,47 476.28 547.330 575.000 575.000 2.800.000 600.000 2.825.000 2.000.000 2.040.00 2.800.000 450.000 42 25,500 20.400 5,100.00 1.906.00 1150.000 2014.00 613.20 1.430,00 3,336,80 930,02 500.78 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 1.220.00 Tanes With investent and Loan (Scenario B YO Y1 Y2 20,000 23,000 25,500 15.000 17.1356 5,000.00 5,865.00 7.140.00 1.906.00 4,706.000 4.706.000 L150.00 1.750.00 ARE 1,944.00 - 591.00 834.000 250.20 1.360.800 413.700 583.800 3,266,80 4,292,30 5,289.80 884.52 413.7 379.47 476.28 204.330 15.000.000 11,250.00 3.750.00 2.790 526 542.300 1.335.47 Pre-tax Profit 30 Taxes "A" Net Profit CASHFLOW A 65% Retained Profit Dividend CF Investing Activities CF Finale Activities FREE CASH FLOW Red 1.430.17 547.330 550.55 296.45 1.980.72 843.78 2.790.52 2.922.47 2,836,020 2,380.174 1.500.550 3.830.72 TAX SHIELD ANALYSIS YO Y2 Net Profit-Net Profit A Increase in DepBA Increase in interests A loin effect Tax Shield effect in Profit 0.00 0.000 QC 0.000 Y1 -1.977.50 2.800.000 600.00 3,400.000 1.422.50 42% -847.00 2.800.000 450.000 3,250.000 2,400.00 743 3.825.50 C Tax Sheffect in Cashow Tex Shange in Cashow 822.500 123.70% 1,953.00 158.53% Verification Verification ASSETS YO YIA Y2 "A" VIS Y2B Current Assets Cash Accounts Receivable 8 1,944 38 OC OC 1.525 5,575 5.490 12,590 1.753.75 6,411.25 6,313.50 14.478.500 28% 27% 63% 1,944 380 7,108. 130 6.999,75 16,052.250 1,753.75 6,411.25 6,313.50 14,478.50 Inventory Total Current Assets 7,108.130 6.999.75 16,052.25 oc 0.00 OE 0.00 Fixed Assets 38,125 28, 125.000 38,125.000 53,125.000 53.125.000 15,000 15,000 L o P R The resulting Free Cashflow M The description and analysis of the tax shield resulting from the investment The description of the method used to carry the projections on Current Asset and on Accounts Payable, as well as the underlying logic behind it. The analysis of the Asset and Net fixed assets: no investment scenario investment scenario The analysis of the Debt (Short-term Liabilities and Long-term liabilities) in: no investment scenario s investment scenario T The analysis on the Retained Earnings under both scenarios, for both years (YI & Y2) For both years (YI & Y2) analyse the resulting Balance Sheet and Excess/Needs for the "no investment scenario" The resulting Balance Sheet and Excess/Needs for the "investment scenario" The preferred alternatives for the use (or allocation) of the Excess (or Needs) of Funds in w "No investment scenario" with specification of both years (YI & Y2) "Investment scenario" with specification of both years (Yl & Y2) Y The resulting differences in the overall Cash-Flow of the company between investing or not investing z Based on all of the above, the student's recommendation to the company CEO on completing the investment or not. U v Initial Value Loan 1/1/1 15,000 15,000 1.000 Investment Loan Data Annual Pt 31/12/11 3.750 Salvage Duration Duration Interest 09 Y1 YS Y6 14,000 Outstanding 92 11.250 450 t Loss Duration Dep Expense Y3 7.500 3006 3,750C 4,050 Y4 3.750 150 3,750 3.900 15.000 6000 3.750 4,350 C 2.800 Pmt SOD 3,750C 4.2006 C 80.00 Costs Margin 75.0 25.0 77.0% 23.0% 75.0% 25.0% 74.5 25.596 720% 280W 20.09 Always check sales evolution Always check costs evolution Cou TotalSales Operational cost EBITDA A Depreciation "A" Without investment and loan (Scenario A) YO Y 20,000 23.0000 25.000 172710 5,000.00 5.290.00 1.906.00 1.906.000 150.00 L.150.000 1,944.00 2,234.000 583.2016 1.360,00 1,563.800 3,266,80 3,469.80 384,52 1,016,47 476.28 547.330 575.000 575.000 2.800.000 600.000 2.825.000 2.000.000 2.040.00 2.800.000 450.000 42 25,500 20.400 5,100.00 1.906.00 1150.000 2014.00 613.20 1.430,00 3,336,80 930,02 500.78 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 1.220.00 Tanes With investent and Loan (Scenario B YO Y1 Y2 20,000 23,000 25,500 15.000 17.1356 5,000.00 5,865.00 7.140.00 1.906.00 4,706.000 4.706.000 L150.00 1.750.00 ARE 1,944.00 - 591.00 834.000 250.20 1.360.800 413.700 583.800 3,266,80 4,292,30 5,289.80 884.52 413.7 379.47 476.28 204.330 15.000.000 11,250.00 3.750.00 2.790 526 542.300 1.335.47 Pre-tax Profit 30 Taxes "A" Net Profit CASHFLOW A 65% Retained Profit Dividend CF Investing Activities CF Finale Activities FREE CASH FLOW Red 1.430.17 547.330 550.55 296.45 1.980.72 843.78 2.790.52 2.922.47 2,836,020 2,380.174 1.500.550 3.830.72 TAX SHIELD ANALYSIS YO Y2 Net Profit-Net Profit A Increase in DepBA Increase in interests A loin effect Tax Shield effect in Profit 0.00 0.000 QC 0.000 Y1 -1.977.50 2.800.000 600.00 3,400.000 1.422.50 42% -847.00 2.800.000 450.000 3,250.000 2,400.00 743 3.825.50 C Tax Sheffect in Cashow Tex Shange in Cashow 822.500 123.70% 1,953.00 158.53% Verification Verification ASSETS YO YIA Y2 "A" VIS Y2B Current Assets Cash Accounts Receivable 8 1,944 38 OC OC 1.525 5,575 5.490 12,590 1.753.75 6,411.25 6,313.50 14.478.500 28% 27% 63% 1,944 380 7,108. 130 6.999,75 16,052.250 1,753.75 6,411.25 6,313.50 14,478.50 Inventory Total Current Assets 7,108.130 6.999.75 16,052.25 oc 0.00 OE 0.00 Fixed Assets 38,125 28, 125.000 38,125.000 53,125.000 53.125.000 15,000 15,000