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this is the assignment I can't take a full picture but I will send the bottom part of it please I need help I am
this is the assignment I can't take a full picture but I will send the bottom part of it please I need help I am having a hard time doing it
this is the bottom part of it
e (a) Develop proforma Project Income Statement Using Excel Spreadsheet (b) Compute Net Project Cash flows, NPV, IRR and PayBack Period (c) Develop Problm-Solving and Critical Thinking Skills 1) Life Period of the Equipment = 4 years 7) Sales increase per year s-(120,000) (200,000) 8) Operating cost (35,000) (60 Percent of Sales) (5,000) 9) Depreciation (Straight LineVYR 15,000 10) Corporate Marginal Tax Rate 200,000 11) Cost of Capital (WACC) 2) New equipment cost -60% 3) Equipment ship & install cost 4) Related start up cost 5) Equip. Salvage Value $ (60,000) 21% Table Fant Sice 10% s 6) Sales for first year (1) T ESTIMATING Initial Outlay (Cash Flow, CFo, T-o) CFO CF1 CF4 20 Year 22 1) Equipment cost 2) Shipping and Install cost 24 3) Start up expenses Total Basis Cost (1+2+3) Alternating now Total Initial Outlay Operating Cost Depreciabon 33 EBIT Taxes 35N Net Income Net income Add back Depreclation Total Operating Cash Flow Teminal: 1) Salvage value (after tax) Salvage Value Before Tax Total Headers & fF Project Net Cash Flows Table Name NPV Payback- D1 Would you accept the project based on NPV, IRR? Would you accept the project based on Payback rule if project cut-off Table Oatline is 3 years? 2 How would you explain to your CEO what NPV means? Cutine table carrm Q#3 4 Q#5 What are advantages and disadvantages of using only Payback method? What are advantages and disadvantages of using NPV versus IRR? Explain the difference between independent projects and mutually exclusive projects Gridines When you are confronted with Mutually Exclusive Projects and have coflicts with NPV and IRR results, which criterion would you use (NPV or IRR) and why2 Abemating Row Calar Column SizStep by Step Solution
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