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Please help me to conduct an NPV Analysis (plus table) for a period of five years using the following information: Assumed revenue growth rate of
Please help me to conduct an NPV Analysis (plus table) for a period of five years using the following information:
Assumed revenue growth rate of 50-75% each year for five years.
The COGS will rise by 4-10% for the first three years and by 10-15% for the remainder of the five-year period.
Capital expenditure will increase by a mean value of 50% for the five-year period.
Tax rate will increase by a value of between 7-10% the next five year due to increased volume of production.
EXHIBIT 1: PROFIT AND LOSS STATEMENT (2013-20150 FORKED RIVER BREWING COMPANY FY 2013 Y 2014 FY 2015 PROFIT& Loss REVENUES S 4,146 13,206 15,099 Sales Non-Beer Beer 68,601 315,373 555,618 Sales S 1.520 S 6,584 13,680 Sales Deposits Sales General S 3,511 8,074 21,621 TOTAL REVENUE 77,779 343,238 606,018 Production Inventory 16,654 96,175 165,836 Purchases 709 1,749 (27 14,749 7,969 17,289 Freight Expense Other Expense TOTAL COGS 33,144 105,892 183,098 Gross Margin 44,635 237,345 422,920 Gross Margin 57% 69% 70% EXPENSES Accounting, Legal, and 4,593 1,849 7,435 Licensing Advertising and Promotions 13,104 13,739 18,378 Insurance 2,841 4,353 6,685 Payroll 67,844 135,007 4,660 10,234 Payroll Taxes Rent 13,022 21,463 35,265 16,121 29,396 24,515 Repair and Maintenance Utilities 3,960 8,763 14,673 8,698 22,926 46,891 Other General and Admin TOTAL OPERATING 62,339 174,993 299,084 EXPENSES NET PROFIT (17,703.57) 62,352.31 $123,836.08 NET PROFIT SALES -23%, 18% 20%Step by Step Solution
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