Q. What are the sneaker 2013 and persistence's initial investment?

Q. What are the sneaker 2013 and persistence's payback period?

The sneaker 2013

Persistence

2012 2015 2013 115 2014 115 2016 115 2018 115 115 2017 115 1.8 207 1.2 1.4 1.6 184 2.4 276 0.9 103.5 138 161 -35 -15 103 169 161 276 207 103.5 After-tax salvage 106.14 - 150 102 39-year MACRS Depreciation Schedule Year 1 2 Percentage 2.6% 5.0% 4 6 3 4.7% 5 4.3% -3.90 -7.50 -7.05 -6.75 1124 -6.45 4.5% 4.0% -6.00 3 1.8 1. Years 2. Price 3. Sales (mil.) Revenues 4. Canivalization Net Revenues 5. CAPEX (factory in Vietnam) & Salvage value Dep. (mil.) 6. CAPEX (Equip. Freight & installation & Salvage value) Dep. (mil.) 7. NWC (Inventory) CA 7. NWC (Acc. Payable).CL 7. NWC (Acc. Receivable) CA 8. Variable costs 9. Selling, general, and admin.expenses 10. Endoresment 11. Other expenses 13. Discount rate (1196) 14. Tax rate (40%) 00 -4.00 -142 -6.40 -232 3.80 -22.1 -240 -38.0 304 -15 - 1.20 0.0 -2.20 -28.5 22.8 5-year MACRS Depreciation Schedule Year 1 2 Percentage 20.0% 320% 4 3 19.0% B 6.0% 5 18.6 17.7 12.0% 11.0% 11.3 -8.2 - 12.9 -22.1 - 13.5 -93.0 - 16.6 -113.9 0.0 0.0 -569 -7 -56.7 30. -7 -2 -25 -7 -151.8 -7 -3 -7 -2 -15 -88.6 -7 -2 - 10 -2 -2 -15 -30 -25 (CFFA] 2012 2013 2014 36.8 2015 36.4 2016 54.2 2017 39.0 2018 16.4 10.6 0 -10 -10 -170 -11.1 -1.1 -182 -7.1 -17.3 0.9 -29.7 -12.4 -223 7.4 OCF changes in NWC (CA-CL) Cash from changes in NWC CAPEX CFFA NPV IRR 22.3 Presumption: remaining inventory gets liquidated, remaining receivables are paid to the company, and vendors are paid off within a year 107.94 -180.0 9.5 29.7 37.3 41.8 46.4 146.6 13.36 12.82% 2012 2014 2013 90 2015 90 90 52.5 72.5 92.6 -8 After-tax salvage 23 2.3 -1.6 -2.56 5-year MACRS Depreciation Schedule Year 2 Percentage 20.0% 32.0% 3 4 -25 -1.52 25.0 -10.0 19.0% 1. Years 2. Price 3. Revenues (mil.) 4. No opp. Cost for the idle secsion of its factory 5. Equipment Dep. (mil.) 6. NWC (Inventory &A/R)_CA 6. NWC (A/P) CL 7. No canivalization 8. Variable costs 9. General & Admin. Exp. 10. Adversiting & Promotion costs 11. Tax rate (40%) 12. Technology purchase (no dep.) 13. Discount rate (14%) 12.0% 10 5 6 -20.0 -35.2 4.3% 4.0% -27.5 -7.2 -6.3 -7.4 -3 -2 -2 5 6 -50 11.0% 6.0% [CFFA] 2012 -30 2013 14.6 0 2014 22.4 2015 29.4 -15 0 -8 OCF Cash from changes in NWC CAPEX CFFA NPV IRR 15 2.3 46.7 -53.0 14.6 22.4 8.59 21.75%