T U V w X M N P Q R S X stands for operating revenue=revenue minus operating costs. Thus X(2) means operating revenue of time2 B C D E F G H I J 1 Answer the questions highlighted by YELLOW. In each case give a numerical answer and BRIEFLY explain 2 3 Entrepreneur with zero initial wealth has a project with a market value (MV) of 400. int rate=0.2 Total Project Payoffs X 5 6 MV of project at t1 7 equals sum of: : X(2) Assume "PCM" so NO DIFFERENCE BETWEEN DEBT AND EQUITY, also assume no taxes 4 X(3) X(4) X(5) 120 144 172,8 207,36 t3 t4 t5 (144/1.212) (172.8/1.245 (207.36/1.244) 100 100 100 100 t2 (120/1.2) r=0.2 400,00 sum= a) Suppose 400 shares are issued which represent this MV (=market value) What will be the price of 1 share, s(1)= 8 9 Entrepreneur needs 250 TL at ti to implement the project. Rana gives our entrepreneur 250TL 250 TL investment in the capital market generates the following 50 50 50 300 MV of 250 TL invested in the capital market at 20%, in time=1 is (50/1.2) 50/(1.212) 50/(1.243) 300/(1.2014) equals sum of: : 41,66666667 34,722222 28,935185 144,67593 250,00 sum= b) How many shares does Rana receive? c) What percentage of the total market value of 400TL is contributed by Rana? d) What percentage of the total market value of 400TL is contributed by the entrepreneur? 10 and gets a certain number of shares in return 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 e) How many of the 400 shares does the entrepreneur deserve? f) What is the value of the project for the entrepreneur? Windows'u Etkinlestir T U V w X M N P Q R S X stands for operating revenue=revenue minus operating costs. Thus X(2) means operating revenue of time2 B C D E F G H I J 1 Answer the questions highlighted by YELLOW. In each case give a numerical answer and BRIEFLY explain 2 3 Entrepreneur with zero initial wealth has a project with a market value (MV) of 400. int rate=0.2 Total Project Payoffs X 5 6 MV of project at t1 7 equals sum of: : X(2) Assume "PCM" so NO DIFFERENCE BETWEEN DEBT AND EQUITY, also assume no taxes 4 X(3) X(4) X(5) 120 144 172,8 207,36 t3 t4 t5 (144/1.212) (172.8/1.245 (207.36/1.244) 100 100 100 100 t2 (120/1.2) r=0.2 400,00 sum= a) Suppose 400 shares are issued which represent this MV (=market value) What will be the price of 1 share, s(1)= 8 9 Entrepreneur needs 250 TL at ti to implement the project. Rana gives our entrepreneur 250TL 250 TL investment in the capital market generates the following 50 50 50 300 MV of 250 TL invested in the capital market at 20%, in time=1 is (50/1.2) 50/(1.212) 50/(1.243) 300/(1.2014) equals sum of: : 41,66666667 34,722222 28,935185 144,67593 250,00 sum= b) How many shares does Rana receive? c) What percentage of the total market value of 400TL is contributed by Rana? d) What percentage of the total market value of 400TL is contributed by the entrepreneur? 10 and gets a certain number of shares in return 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 e) How many of the 400 shares does the entrepreneur deserve? f) What is the value of the project for the entrepreneur? Windows'u Etkinlestir
