Viscotech Inc. is planning to enter the field of electro-optical systems for automated optical inspection and detection of defects in manufacturing components and modules. The projected financial revenues and income are shown in the table below.

The firm plans to start with an equity investment of $1,000,000 and a five-year loan

of $500,000. Determine the cash on hand at the end of each year. Also, determine the return on equity and the return on investment for each year.

We can assume that this equity investment will go toward the acquisition of fixed assets and that the loan will provide working capital.

	Year	0	1	2	3	4	5
Initial Equity		-1000
Initial Debt		-500
Revenues			1500	3400	5900	10600	15400
Income (after tax)			-500	-100	200	400	600
Depreciation			250	300	350	400	400
Ave. Shareholders Equity			1000	700	600	800	1400
Long-term debt			500	450	300	200	100
Cash on Hand
ROE
ROI