Net Zero Hotel Game Instructions 2024
.docx
keyboard_arrow_up
School
University of Ottawa *
*We aren’t endorsed by this school
Course
4355
Subject
Finance
Date
Apr 3, 2024
Type
docx
Pages
2
Uploaded by BailiffOpossumPerson801
Net Zero Hotel Simulation (Due date as indicated on Brightspace)
This is a challenging assignment. It involves strategically selecting from initiatives, balancing financial and emissions/ sustainability goals, as well as thinking about and executing effective investor communication. Instructions
Complete in groups of 1, 2 or 3. Your hotel has committed to reduce its GHG emissions by 50% over 7 years while also keeping the hotel profitable. Your job is to select initiatives each year to simultaneously reduce emissions and maintain the hotel’s financial health. Four years into the 7-year timeframe, you will provide your results to potential investors.
The potential investor group is interested in both financial and sustainability-related outcomes and are viewing a number of hotels. They will review all of the slides from all of your competitors and then decide who to invite to present them so they can ask further questions. So your goal is to make your slides and related materials as compelling as possible. You are competing against all other hotels in the class, and your content will be judged by me (and the TAs) as though we are potential investors.
You have seen information about one of your competitors. Your goal is to produce something more compelling and informative. (https://s22.q4cdn.com/153757806/files/doc_downloads/2022/04/WHR-2022-ESG-Report.pdf) Choose New York City as your location. Perform 4 years of simulation. (You may test out the simulation as many times as you like; you may also click on ‘reset’ at any time if you want to start over).
1.
At the end of 4 years, prepare a slide deck of 5 slides (plus title slide) for the Investor group. These should include both financial and sustainability/emissions results. You don’t yet know if you will present them in person, so they should be suitable for both kinds of audiences: reading the slide deck and viewing the slide deck in a presentation. 2.
The files to upload are as follows:
a.
Slide deck (as one file). b.
Appendix A (as a different file in a Word doc) with the following. This will be used by the Investors to help them understand your slides.
i.
In 500 words or less, explain the strategy and approach you used for achieving the emissions reductions while still remaining financially sound. ii.
Capture the relevant financial and emissions results (from dashboard) into a document not exceeding two pages. (Paste in, or recreate, as you wish). iii.
At the end of each year, explain and provide reasons for which initiatives you selected and those
which you did not select (see sample table). iv.
Signed academic integrity statements. Assignments without these will not be read or graded and you will receive a zero.
Notes
:
Slides must clearly explain the Scope 1, 2, and/or 3 emissions reductions to the investors.
Since one of the aims is to attract investment to your hotel, you might want to consider what you will be able to claim or
demonstrate to potential investors when you are choosing among the different initiatives.
Sample table
(length/page
count will
vary
depending
how many
items you
implemented)
Year 1
Reason
Selected
Install water-efficient appliances
(Reasoning should be brief but clear and related to your strategy)
Not selected
Replace cars with Electric Vehicles (Reasoning should be brief but clear and related to your strategy)
Year 2
(continued….
DO NOT REPEAT ITEMS (SELECTED OR NOT SELECTED) FROM YEAR TO YEAR UNLESS YOUR REASONS HAVE CHANGED.
Year 3
(continued…..
Rubric
Slides
Do the slides follow the
instructions?
Is the slide content clear and well
thought out?
Would the slides work effectively
well for presentation viewing and
for static viewing?
Do the slides convince the investor
to choose the hotel?
Appendix Materials
Table completed as instructed,
relates to strategy
Strategy clear, and convincing
Environment/Financial Results
Relative ranking against other
hotels
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help
Related Questions
Prepare the financial section of a business case for the Cloud-Computing Case that is listed above this assignment in Canvas. Assume that this project will take eight months to complete (in Year 0) and will cost $600,000. The costs to implement some of the technologies will be $300,000 for year one and $200,000 for years two and three. Estimated benefits will start in year 1 at $400,000 and will be $600,000 for years 2 and 3. There is no benefit in year 0. Use the business case spreadsheet template (business_case_financials.xls) template provided below this assignment in Canvas to calculate the NPV, ROI, and the year in which payback occurs. Assume a 7 percent discount rate for the template. notes* Payback occurs in the first year that there is a positive value for cumulative benefits - costs. (*Negative values are presented in parenthesis)
What I have so far is attached
I need to make it so Pay back occurs in year 3 where there is positive cumulative benefits - costs.
arrow_forward
Russell Trent was recently tasked with evaluating projects for Stan's No Touch Car Wash. The company recently decided to use NPV as its primary criterion for approving projects. To be selected, a project must have a positive NPV.
Russell is currently evaluating a project with the following estimated investment requirements ($ millions) by year (starting in year 0):
\
Investment Year
Investment
0
16
1
10.1
2
12.5
The estimated revenues ($ millions) from the project, expected to begin at time 2, are given in the table below:
Investment Year
Investment
0
11.1
1
11.3
2
8.2
3
14.3
4
11.9
To account for the different risk characteristics throughout the project's life, Russell has determined that a hurdle rate of 23% should be used beginning at time 0, while 37% should be used beginning in period 4.
Determine the NPV for the project.
NPV=
arrow_forward
The management of Brawn Engineering is considering three alternatives to satisfy an OSHA requirement for safety gates in the machine shop. Each gate will completely satisfy the requirement, so no combinations need to be considered. The first costs, operating costs, and salvage values over a 5-year planning horizon are shown below. Using a future worth analysis with a MARR of 20%/year, determine the preferred gate.
arrow_forward
Corporate social responsibility and the balanced scorecard
Lonnie’s Shipping Co. is considering switching to an all-electric fleet to minimize emissions. Lonnie wants to gradually implement this change over the next 10 years. The company currently has a fleet of 100 trucks, half of which are electric-powered. Upon consulting with Lonnie, you have determined that an appropriate course of action is to include this CSR activity as a strategic objective in the company’s current balanced scorecard.
a. Under which category of performance perspective can the CSR strategic objective of the company be included?
a. Internal process based performance perspective
b. External process based performance perspective
c. Employee welfare based performance perspective
d. All the above
b. Identify a performance metric for the CSR strategic objective.
a. Number of trucks the shipping company uses.
b. The number of electric-powered trucks in the fleet.
c. The amount of electric power used for the trucks…
arrow_forward
Subject: acounting
arrow_forward
Ajmal LLC a company based in ibri, and its Project management team has recently been completed the sensitivity analysis of their upcoming project at Fahud. The following are the results of the sensitivity analysis.
i) Initial investment sensitivity margin is 15%,
ii) Sales volume sensitivity margin is 12%,
iii) Selling price sensitivity margin is 8%,
iv) Variable cost sensitivity margin is 3%,
You are required to identify which two of the above variables, the Ajmal LLC management should pay particular attention.
a.
ii & iii
b.
I & ii
c.
None of the options
d.
i & iv
arrow_forward
Consider how Root Valley River Park Lodge could use capital budgeting to decide whether the $13,000,000 River Park Lodge expansion
would be a good investment. Assume Root Valley's managers developed the following estimates concerning the expansion:
(Click the icon to view the estimates.)
(Click the icon to view additional information.)
The internal rate of return (IRR) of the expansion is
Data table
More info
example
10-12%
Number of additional skiers per day
Average number of days per year that weather conditions
allow skiing at Root Valley
Useful life of expansion (in years)
Average cash spent by each skier per day
Average variable cost of serving each skier per day
Cost of expansion
Discount rate
Get more help.
12-14%
Print
15-16%
16-18%
S
Done
122 skiers
149 days
Assume that Root Valley uses the straight-line depreciation method and expects
the lodge expansion to have no residual value at the end of its nine-year life. The
project is expected to have an average annual net cash…
arrow_forward
Hoosier Corporation is an entertainment company that produces and distributes digital content and operates its own amusement parks. The company is looking into expanding into a new market, Hoosiersville. There are several projects the CEO considers investing in to capture the values brought by the market. One project for consideration is an improvement to the existing amusement park in Hoosierville.
If the project gets approved, the company expects an annual sale of $19.6 million from ticket sales, food, and concessions at the park, with an expected growth of 2.5% annually for a project life of 8 years. The annual operating expenses are expected to be 34% of sales, and the working capital (needed immediately) is expected to be 10% of the next year’s sales. The Tax Rate is 21%
In addition, the CEO determines that the new park will need to buy a new rollercoaster which will have a $3 million upfront cost. The rollercoaster will be depreciated straight-line for eight years to an…
arrow_forward
Moving to Green Computing Your organization is a leader in the development of renewable energy sources based on enhanced geothermal systems and is viewed as a champion in the fight to reduce carbon emissions. The organization employs over 25,000 people worldwide and operates three global data centers, one each in the United States, Europe, and Southeast Asia. The CEO has asked all her C level executives for input on a proposed strategy to become a leader in green computing.
Critical Thinking Questions
Identify two additional tactics the organization might take to accelerate its move toward green computing?
Identify the pros and cons or any issues associated with your proposed tactics.
arrow_forward
There are two projects under consideration by the Rainbow factory. Each of the projects will require an initial investment of $34,000 and is expected to generate the following cash flows:
First Year
Second Year
Third Year
Total
Alpha Project
$32,000
$22,000
$5,000
$59,000
Beta Project
8,000
23,500
28,000
59,500
Present value and future values table: https://openstax.org/books/principles-managerial-accounting/pages/time-value-of-money
A. If the discount rate is 12%, compute the NPV of each project. Round your present value factor to three decimal places and final answer to answer to 2 decimal places.
Alpha Project $_________
Beta Project $________
B. Which project should be recommended.
_____________
arrow_forward
As supervisor of a facilities engineering department, you consider mobile cranes to be critical equipment. The purchase of a new, medium-sized truck-mounted crane is being evaluated. The economic estimates for the two best alternatives are shown in the following table. MARR is at 15% per year. You can use the assumption of repeatability in this case. Show that the same selection is made for the following methods:
a. PW method b. FW method c. EUAC method
Alternative
A
B
Capital investment
ALTERNATIVE A $272,000
ALTERNATIVE B $346,000
Annual expenses ALTERNATIVE A $28,800
1 ALTERNATIVE B $9,300
Useful life (years)
ALTERNATIVE A =6 ALTERNATIVE B =9
Salvage value
ALTERNATIVE A $ 25,000
ALTERNATIVE B $40,000
arrow_forward
1. In Excel, solve the following problem and create a spider graph: d. A new online patient diagnostics system for surgeons will cost $280,000 to insttan. cost $12,000 annually to maintain and will have an expected life of 5 years. The added revenue is estimated to be $75.000 per vear, and the Marr is 8% per year. i. Determine the PW of the project ". Vary the following parameters, in increments of 10% by +/- 40%.
1. First cost 2. Revenue 3. Expected life
arrow_forward
A.
arrow_forward
Groove Street Games (GSG) is developing a new free-to-play, massive multiplayer online crime simulator game and wishes to create a simulation model to estimate the expected NPV
of the game. GSG faced several uncertain factors and made the following assumptions that would hopefully help them build a simulation model.
• Product Life: It is equally likely that the game will stay operational for 1, 2, 4, 6, or 8 years, but there is a 10% possibility that the game will stay operational for the next 10 years.
• Microtransaction Rate: GSG estimates that there is a 50% chance that at least 30% of the players would purchase at least one in-game cash item, but there is also an equal chance
that the number would fall below 10%. GSG is confident that the distribution of the microtransaction rate closely resembles a bell shape.
• Market Share: GSG believes its market share in year 1 would be at best 70%, most likely 35%, and at worst 10%.
• Server Maintenance Cost: The annual server maintenance…
arrow_forward
Ruba Nasser SAOG is planning to invest in project as part of the organization's growth strategy to
enhance the financial sustainability of the organization. The organization has two options available.
Option 1– Project A – Increase the capacity in Division A
Option 2 – Project B – Increase the capacity in Division B.
Both projects are mutually exclusive. The available capital investment for the Project is RO 250,000.
Due to the limited funds the organization needs to decide on a suitable investment project which will
be part of the sustainable growth strategy.
Below are the details for both Projects
Project A - Increase in machine capacity in Division A
Cost of Investment – RO 250,000
Useful Life – 4 Years Year
Operating Profit Before Depreciation (RO)
55,000
65,000
80,000
80,000
1
2
3
4
The project has a scrap value of OMR 75,000.
Project B – Increase in Machine Capacity in Division B
Cost of Investment – RO 250,000
Operating Profit Before Depreciation (RO)
75,000
75,000
78,000
82.000…
arrow_forward
Can someone please help me solve this question using Excel?
arrow_forward
Perform financial analysis for a project using the format provided in Figure 4-5 in your textbook (attached business_case_financials template). Assume that the project costs and benefits for this project are spread over four years as follows: Estimated costs are $200,000 in Year 1 and $30,000 each year in Years 2, 3, and 4. Estimated benefits are $0 in Year 1 and $100,000 each year in Years 2, 3, and 4. Use a 9 percent discount rate, and round the discount factors to two decimal places. Using the attached business case financials template, calculate and clearly display the NPV, ROI, and year in which payback occurs. In addition, write a paragraph explaining whether you would recommend investing in this project, based on your financial analysis.
Business case financial spreadsheet and paragraph explaining your recommendations for investing or not in the project.
arrow_forward
Help please,
2. Perform a financial analysis for a project using the format provided in Figure 4-5 in your textbook (attached business_case_financials template). Assume that the project costs and benefits for this project are spread over four years as follows: Estimated costs are $200,000 in Year 1 and $30,000 each year in Years 2, 3, and 4. Estimated benefits are $0 in Year 1 and $100,000 each year in Years 2, 3, and 4. Use a 9 percent discount rate, and round the discount factors to two decimal places. Using the attached business case financials template, calculate and clearly display the NPV, ROI, and year in which payback occurs. In addition, write a paragraph explaining whether you would recommend investing in this project, based on your financial analysis.Business case financial spreadsheet for Task 2 and paragraphexplaining your recommendations for investing or not in the project.
arrow_forward
SEE MORE QUESTIONS
Recommended textbooks for you
Managerial Accounting
Accounting
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
Essentials of Business Analytics (MindTap Course ...
Statistics
ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Cengage Learning
Managerial Accounting: The Cornerstone of Busines...
Accounting
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax College
Related Questions
- Prepare the financial section of a business case for the Cloud-Computing Case that is listed above this assignment in Canvas. Assume that this project will take eight months to complete (in Year 0) and will cost $600,000. The costs to implement some of the technologies will be $300,000 for year one and $200,000 for years two and three. Estimated benefits will start in year 1 at $400,000 and will be $600,000 for years 2 and 3. There is no benefit in year 0. Use the business case spreadsheet template (business_case_financials.xls) template provided below this assignment in Canvas to calculate the NPV, ROI, and the year in which payback occurs. Assume a 7 percent discount rate for the template. notes* Payback occurs in the first year that there is a positive value for cumulative benefits - costs. (*Negative values are presented in parenthesis) What I have so far is attached I need to make it so Pay back occurs in year 3 where there is positive cumulative benefits - costs.arrow_forwardRussell Trent was recently tasked with evaluating projects for Stan's No Touch Car Wash. The company recently decided to use NPV as its primary criterion for approving projects. To be selected, a project must have a positive NPV. Russell is currently evaluating a project with the following estimated investment requirements ($ millions) by year (starting in year 0): \ Investment Year Investment 0 16 1 10.1 2 12.5 The estimated revenues ($ millions) from the project, expected to begin at time 2, are given in the table below: Investment Year Investment 0 11.1 1 11.3 2 8.2 3 14.3 4 11.9 To account for the different risk characteristics throughout the project's life, Russell has determined that a hurdle rate of 23% should be used beginning at time 0, while 37% should be used beginning in period 4. Determine the NPV for the project. NPV=arrow_forwardThe management of Brawn Engineering is considering three alternatives to satisfy an OSHA requirement for safety gates in the machine shop. Each gate will completely satisfy the requirement, so no combinations need to be considered. The first costs, operating costs, and salvage values over a 5-year planning horizon are shown below. Using a future worth analysis with a MARR of 20%/year, determine the preferred gate.arrow_forward
- Corporate social responsibility and the balanced scorecard Lonnie’s Shipping Co. is considering switching to an all-electric fleet to minimize emissions. Lonnie wants to gradually implement this change over the next 10 years. The company currently has a fleet of 100 trucks, half of which are electric-powered. Upon consulting with Lonnie, you have determined that an appropriate course of action is to include this CSR activity as a strategic objective in the company’s current balanced scorecard. a. Under which category of performance perspective can the CSR strategic objective of the company be included? a. Internal process based performance perspective b. External process based performance perspective c. Employee welfare based performance perspective d. All the above b. Identify a performance metric for the CSR strategic objective. a. Number of trucks the shipping company uses. b. The number of electric-powered trucks in the fleet. c. The amount of electric power used for the trucks…arrow_forwardSubject: acountingarrow_forwardAjmal LLC a company based in ibri, and its Project management team has recently been completed the sensitivity analysis of their upcoming project at Fahud. The following are the results of the sensitivity analysis. i) Initial investment sensitivity margin is 15%, ii) Sales volume sensitivity margin is 12%, iii) Selling price sensitivity margin is 8%, iv) Variable cost sensitivity margin is 3%, You are required to identify which two of the above variables, the Ajmal LLC management should pay particular attention. a. ii & iii b. I & ii c. None of the options d. i & ivarrow_forward
- Consider how Root Valley River Park Lodge could use capital budgeting to decide whether the $13,000,000 River Park Lodge expansion would be a good investment. Assume Root Valley's managers developed the following estimates concerning the expansion: (Click the icon to view the estimates.) (Click the icon to view additional information.) The internal rate of return (IRR) of the expansion is Data table More info example 10-12% Number of additional skiers per day Average number of days per year that weather conditions allow skiing at Root Valley Useful life of expansion (in years) Average cash spent by each skier per day Average variable cost of serving each skier per day Cost of expansion Discount rate Get more help. 12-14% Print 15-16% 16-18% S Done 122 skiers 149 days Assume that Root Valley uses the straight-line depreciation method and expects the lodge expansion to have no residual value at the end of its nine-year life. The project is expected to have an average annual net cash…arrow_forwardHoosier Corporation is an entertainment company that produces and distributes digital content and operates its own amusement parks. The company is looking into expanding into a new market, Hoosiersville. There are several projects the CEO considers investing in to capture the values brought by the market. One project for consideration is an improvement to the existing amusement park in Hoosierville. If the project gets approved, the company expects an annual sale of $19.6 million from ticket sales, food, and concessions at the park, with an expected growth of 2.5% annually for a project life of 8 years. The annual operating expenses are expected to be 34% of sales, and the working capital (needed immediately) is expected to be 10% of the next year’s sales. The Tax Rate is 21% In addition, the CEO determines that the new park will need to buy a new rollercoaster which will have a $3 million upfront cost. The rollercoaster will be depreciated straight-line for eight years to an…arrow_forwardMoving to Green Computing Your organization is a leader in the development of renewable energy sources based on enhanced geothermal systems and is viewed as a champion in the fight to reduce carbon emissions. The organization employs over 25,000 people worldwide and operates three global data centers, one each in the United States, Europe, and Southeast Asia. The CEO has asked all her C level executives for input on a proposed strategy to become a leader in green computing. Critical Thinking Questions Identify two additional tactics the organization might take to accelerate its move toward green computing? Identify the pros and cons or any issues associated with your proposed tactics.arrow_forward
- There are two projects under consideration by the Rainbow factory. Each of the projects will require an initial investment of $34,000 and is expected to generate the following cash flows: First Year Second Year Third Year Total Alpha Project $32,000 $22,000 $5,000 $59,000 Beta Project 8,000 23,500 28,000 59,500 Present value and future values table: https://openstax.org/books/principles-managerial-accounting/pages/time-value-of-money A. If the discount rate is 12%, compute the NPV of each project. Round your present value factor to three decimal places and final answer to answer to 2 decimal places. Alpha Project $_________ Beta Project $________ B. Which project should be recommended. _____________arrow_forwardAs supervisor of a facilities engineering department, you consider mobile cranes to be critical equipment. The purchase of a new, medium-sized truck-mounted crane is being evaluated. The economic estimates for the two best alternatives are shown in the following table. MARR is at 15% per year. You can use the assumption of repeatability in this case. Show that the same selection is made for the following methods: a. PW method b. FW method c. EUAC method Alternative A B Capital investment ALTERNATIVE A $272,000 ALTERNATIVE B $346,000 Annual expenses ALTERNATIVE A $28,800 1 ALTERNATIVE B $9,300 Useful life (years) ALTERNATIVE A =6 ALTERNATIVE B =9 Salvage value ALTERNATIVE A $ 25,000 ALTERNATIVE B $40,000arrow_forward1. In Excel, solve the following problem and create a spider graph: d. A new online patient diagnostics system for surgeons will cost $280,000 to insttan. cost $12,000 annually to maintain and will have an expected life of 5 years. The added revenue is estimated to be $75.000 per vear, and the Marr is 8% per year. i. Determine the PW of the project ". Vary the following parameters, in increments of 10% by +/- 40%. 1. First cost 2. Revenue 3. Expected lifearrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Managerial AccountingAccountingISBN:9781337912020Author:Carl Warren, Ph.d. Cma William B. TaylerPublisher:South-Western College PubFinancial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,Essentials of Business Analytics (MindTap Course ...StatisticsISBN:9781305627734Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. AndersonPublisher:Cengage Learning
- Managerial Accounting: The Cornerstone of Busines...AccountingISBN:9781337115773Author:Maryanne M. Mowen, Don R. Hansen, Dan L. HeitgerPublisher:Cengage LearningExcel Applications for Accounting PrinciplesAccountingISBN:9781111581565Author:Gaylord N. SmithPublisher:Cengage LearningPrinciples of Accounting Volume 2AccountingISBN:9781947172609Author:OpenStaxPublisher:OpenStax College
Managerial Accounting
Accounting
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
Essentials of Business Analytics (MindTap Course ...
Statistics
ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Cengage Learning
Managerial Accounting: The Cornerstone of Busines...
Accounting
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax College