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Optimistic: sales growth 18%, COGS/Sales 0.4, WACC 12%, FCF growth rate 8% Pessimistic: sales growth 5%, COGS/Sales 0.55, WACC 16%, FCF growth rate 3% input
- Optimistic: sales growth 18%, COGS/Sales 0.4, WACC 12%, FCF growth rate 8%
- Pessimistic: sales growth 5%, COGS/Sales 0.55, WACC 16%, FCF growth rate 3%
input two scenarios into scenario manager
| Year | 2017 |
| Income statement | |
| Sales | $ 10,000,000.00 |
| Cost of goods sold | $ (5,000,000.00) |
| Depreciation | $ (1,000,000.00) |
| Interest payments on debt | $ (320,000.00) |
| Interest earned on cash and marketable securities | $ 64,000.00 |
| Profit before tax | $ 3,744,000.00 |
| Taxes (40%) | $ (1,497,600.00) |
| Profit after tax | $ 2,246,400.00 |
| Dividends | $ (898,560.00) |
| Retained Earnings | $ 1,347,840.00 |
| Balance sheet | |
| Cash | $ 800,000.00 |
| Current assets | $ 1,500,000.00 |
| Fixed assets | |
| Fixed assets at cost | $ 10,700,000.00 |
| Depreciation | $ (3,000,000.00) |
| Net fixed assets | $ 7,700,000.00 |
| Total assets | $ 10,000,000.00 |
| Current liabilities | $ 800,000.00 |
| Debt | $ 3,200,000.00 |
| Equity | |
| Stock (paid-in capital) | $ 4,500,000.00 |
| Accumulated retained earnings | $ 1,500,000.00 |
| Total liabilities and equity | $ 10,000,000.00 |
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Financial Management For Public Health And Not For Profit Organizations
Authors: Steven A. Finkler
1st Edition
0130176141, 9780130176141
