Question
What is the breakeven point in sales that makes NPV equal to zero?with given data HOLA-KOLA FCF (2011-2016) (numbers in thousands of pesos) Year 0
What is the breakeven point in sales that makes NPV equal to zero?with given data
HOLA-KOLA FCF (2011-2016) (numbers in thousands of pesos) Year 0 1 2 3 4 5 Revenues $36,000 $38,268 $40,679 $43,242 $45,966 Less:Variable Expenses 12,960.00 13,776.48 14,644.40 15,567.00 16,547.72 Less:Fixed Expenses 3,060.00 3,252.78 3,457.71 3,675.54 3,907.10 EBITDA $19,980.00 $21,238.74 $22,576.78 $23,999.12 $25,511.06 Less:Depreciation 9,200.00 9,200.00 9,200.00 9,200.00 9,200.00 EBIT $10,780.00 $12,038.74 $13,376.78 $14,799.12 $16,311.06 Less:Tax $3,234.00 $3,611.62 $4,013.03 $4,439.74 $4,893.32 EBIT(1-t) $7,546.00 $8,427.12 $9,363.75 $10,359.38 $11,417.74 Add:Depreciation 9,200.00 9,200.00 9,200.00 9,200.00 9,200.00 Les:Work Cap $6,552.00 $6,964.78 $(6,046.00) $461.00 $490.00 FCF $ (50,000.00) $10,194.00 $10,662.34 $24,609.75 $19,098.38 $20,127.74 0.909090909 0.82644628 0.7513148 0.68301346 0.62092132 Discounted CF $ (50,000.00) $9,267.27 $8,811.85 $18,489.67 $13,044.45 $12,497.75 Discount Rate 10% NPV $12,110.99 IRR 7%
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