Question
Your company has made an investment of 800.000 TL in Year 0 and it will start operating in Year 1. In the year 0, 100.000
Your company has made an investment of 800.000 TL in Year 0 and it will start operating in Year 1. In the year 0, 100.000 TL working capital was provided from the stockholders for the start, and the working capital is reset in the year 6. If your company's weighted average capital cost is 15%, in line with this information;
- It is forecasted that our investment will wear out with a straight-line method over a 5-year period and the salvage value will be 0 TL at the end of the 6th year. The company's tax rate is 20%. In this case, create the cash flow statement of the company in the period covering 0-6 years.
- Calculate Payback Period.
- Calculate Discounted Payback Period.
- Calculate Net Present Value.
- Calculate Profitability Index.
- Calculate Internal Rate of Return.
- Calculate Modified Internal Rate of Return. (5 Point)
| YEAR 0 | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 |
INVESTMENT | 800.000 |
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WORKING CAPITAL | 100.000 | 120.000 | 150.000 | 180.000 | 140.000 | 100.000 |
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CHANGE IN WORKING CAPITAL |
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REVENUES |
| 300.000 | 500.000 | 600.000 | 450.000 | 300.000 |
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EXPENSES |
| 90.000 | 150.000 | 180.000 | 150.000 | 30.000 |
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DEPRECIATION |
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PRETAX PROFIT |
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TAX (%20) |
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PROFIT AFTER TAXES |
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| YEAR 0 | YEAR 1 | YEAR 2 | YEAR 3 | YEAR 4 | YEAR 5 | YEAR 6 |
1.CASH FLOW FROM INVESTMENT |
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2.CASH FLOWS FROM WORKING CAPITAL |
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3.CASH FLOWS FROM OPERATIONS |
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TOTAL CASH FLOWS FROM PROJECT |
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