Plan Data Development Hotel Projects :

1. Average rental price :
2. Non-suite room, 850,000/ night
3. Suite room, 1,500,000/ night
4. Income another 40% of income rent room
5. Cost operational and maintenance on average per year = 40% of income Annual
6. Occupancy rate ( level occupancy ) is an appropriate alternative , set by each _ student, and the assumption is 360 days per year
7. The hotel is financed with a bank loan of 30% with a level ethnic group of 12% interest and 70% own capital with the known safe rate of 6% and risk investment the in accordance alternative .
8. Bank loans are paid every year with a mark of The same start year First until the end of the investment period in the year sixth.
9. Terminal values are considered with a fixed capitalization rate based on a safe rate of 6.5% plus and minus with a risk premium of 4% and a tax benefit of 1.5%

Question :

1. Two alternatives were developed with a plan as follows:

2. Develop respective cash flows alternative in two scenarios , i.e. those that involve terminal values and those that don't involve terminal values

3 For each _ scenario every alternative , find the limit maximum cost investment that causes decision investment change .

4. Based on mutually exclusive choices that involve the choice of do nothing, which one of them is the selected alternatives 1 and 2 ( with scenarios involving terminal values and not involving terminal values)?

Individual Cash Flow Alternative

No	Description	Data	Year to
1	Investment Period	6 Years	1	2	3	4	5	6
2	Cost of Capital (i) loan	12%
	Cost of Capital (i) equity	15,00%
	MARR (WACC) investment	14,10%
3	Investment Cost	120000
4	Reception Loan	36000
	Payment Loan	0,2432257
5	Reception Operation	44226
6	Cost Operation	17690,4
7	Terminal Values	294840
	Net Cash Flow
	Discount factor (i)
	DCF(PV) discounted cash flow
	NPV (Net Present Value)
	IRR= ..%
	IL =
	IU =
	NPV L =
	NPV U =

Notes according to number in table respective cash flows alternative

1. The investment period is the payback period for investment . Started from year to 0 ( moment this ). Who notes the whole incident cash flow in and out until year moment this . The value recorded in year to 1 is incident money flows in and out at the end year to 0 or beginning year to 1 to the end year to 1.
2. MARR stands for of the Minimum Attractive Rate of Return. The minimum rate of return that is still attracting investors to invest . MARR loan means is the hope of a loan against a level return from the investment it finances . This Can be indicated by flower loans that are in effect.
3. MARR equity is the level of minimum return on own capital . Formed by two variables namely safe rate and level of investors' risk .
   1. A safe rate is the level return on do nothing investment as indicated by an interest deposit
   2. The level of risk ( return uncertainty ) that can be received by investors is influenced by its risk-averse nature , or moderate risk , or risk seeker
4. MARR investment is hope return from all investors who finance investment the . Is a combination of hope-level loan repayments and expectations level return on equity, which is calculated in a manner simple using the WACC formula (weighted average cost of capital). The formula simply put are : (% Loan x MARR loan) + (%Equity x MARR equity)

5. Cost investment : whole costs incurred _ For obtaining asset investment . Property investment includes the whole cost beginning that is studies study , design , land , cost of construction building , cost of the machine , cost of equipment fixed , interior costs , and costs cost of the company .

6. Reception Loan : size reception debt For investment

7. Payment Loan : size payment instalment loan debt annual. this value is obtained from the A/P value of the loan.

8. Reception operational : All reception operational during the typical investment period obtained of product volume x price sell or rent

9. Cost operational : All cost-issued operations _ throughout the investment period . Covers cost operational annual fee _ maintenance , cost replacement , cost of energy and others

10. Terminal value: terminal value , or mark assets at the end of the investment period . One of them counts Can use approach evaluation with method income that is

NOI (net operating income) / capitalization rate

NOIs are difference income operational annual with expenditure operational annual

Capitalization rate ( rate capitalization ) is an aggregation from MARR, with safe rate formula +/- risk .

The risk if happen will add load rate of return then is worth +, while those that relieve level return will worth

11. Net cash flow: net cash flow

12. Discount factor: P/F, for change value in the year outside year 0 to present value ( moment this )

13. DCF; discounted cash flow. Value of cash flow in form mark moment this (present value)

14. NPV: net present value: value clean moment this (total DCF value

15. IRR: internal rate of return: the value of return i % at NPV = 0.

\begin{tabular}{|l|c|c|c|c|c|} \hline Alternative & \( \begin{array}{c}\text { Amount } \\ \text { suites__ }\end{array} \) & Amountroomnonsuites & Risk & Estimated Occupancy Rate & EstimationCostInvestment \\ \hline Alternative 1 & 100 & 30 & 9% & \( \begin{array}{c}\text { Between } 40-80 \% \text { ( set by } \\ \text { each_student ) }\end{array} \) & 120 billion \\ \hline Alternative 2 & 65 & 65 & 6% & 60% & 80 billion \\ \hline \end{tabular}