Road Kings 2014 Year Year Year Year Year Year Year Year 0 1 3 4 6 OPERATING SUMMARY Price per bus 225,500 7,750 225,500 225,500 225,500 225,500 225,500 225,500 Units sold 7,750 7,750 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 7,750 7,750 7,750 7,750 Revenues 7 Labor per unit 9 Parts per unit 10 engine Detroit 11 Sales/Administration per year 12 Bus Warranty per unit 13 Engine Warranty per unit 14 Depreciation 52,000 94,000 8 52,000 94,000 20,000 250,000,000 52,000 52,000 52,000 52,000 52,000 94,000 94,000 94,000 94,000 155,000,000 94,000 155,000,000 155,000,000 250,000,000 1,100 155,000,000 155,000,000 155,000,000 250,000,000 250,000,000 1,100 1,000 250,000,000 250,000,000 250,000,000 4,776 1,100 1,100 1,100 0 6,512 1,000 1,000 1,000 1,000 1,000 360,000,000 60,000,000 300,000,000 60,000,000 120,000,000 180,000,000 240,000,000 EBIT ($000) 15 1,282,476,9001,222,476,900 1,162,476,900 1,102,476,900 1,042,476,900 982,478,000 16 Taxes @ 40% NOPAT ($000) 17 18 Add back depreciation 19 Operating Cash Flow ($000) Year Year Year Year Year Year Year 7 8 9 10 11 12 13 225,500 225,500 225,500 225,500 225,500 225,500 225,500 7,750 7,750 1,747,625,000 1,747,625,000 7,750 7,750 7,750 7,750 7,750 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,6 25,000 52,000 94,000 52,000 94,000 52,000 52,000 52,000 52,000 52,000 94,000 94,000 155,000,000 94,000 155,000,000 94,000 155,000,000 94,000 155,000,000 155,000,000 155,000,000 155,000,000 250,000,000 250,000,000 250,000,000 250,000,000 250,000,000 250,000,000 250,000,000 0 0 0 0 1,000 1,000 1,000 1,000 1,000 1,000 1,000 360,000,000 420,000,000 480,000,000 540,000,000 600,000,000 660,000,000 720,000,000 982,478,000 922,478,000 862,478,000 802,478,000 742,478,000 682,478,000 622,478,000

Question

What would taxes be with a marginal rate of 40% for each year?

What would the add back depreciation for each year be with straight line depreciaiton of $720 million over 12 years?

Road Kings 2014
Year
Year
Year
Year
Year
Year
Year
Year
0
1
3
4
6
OPERATING SUMMARY
Price per bus
225,500
7,750
225,500
225,500
225,500
225,500
225,500
225,500
Units sold
7,750
7,750
1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000
7,750
7,750
7,750
7,750
Revenues
7
Labor per unit
9 Parts per unit
10 engine Detroit
11 Sales/Administration per year
12 Bus Warranty per unit
13 Engine Warranty per unit
14 Depreciation
52,000
94,000
8
52,000
94,000
20,000
250,000,000
52,000
52,000
52,000
52,000
52,000
94,000
94,000
94,000
94,000
155,000,000
94,000
155,000,000
155,000,000
250,000,000
1,100
155,000,000
155,000,000
155,000,000
250,000,000
250,000,000
1,100
1,000
250,000,000
250,000,000
250,000,000
4,776
1,100
1,100
1,100
0
6,512
1,000
1,000
1,000
1,000
1,000
360,000,000
60,000,000
300,000,000
60,000,000
120,000,000
180,000,000
240,000,000
EBIT ($000)
15
1,282,476,9001,222,476,900 1,162,476,900 1,102,476,900 1,042,476,900
982,478,000
16 Taxes @ 40%
NOPAT ($000)
17
18 Add back depreciation
19
Operating Cash Flow ($000)

Image Transcription

Road Kings 2014 Year Year Year Year Year Year Year Year 0 1 3 4 6 OPERATING SUMMARY Price per bus 225,500 7,750 225,500 225,500 225,500 225,500 225,500 225,500 Units sold 7,750 7,750 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 7,750 7,750 7,750 7,750 Revenues 7 Labor per unit 9 Parts per unit 10 engine Detroit 11 Sales/Administration per year 12 Bus Warranty per unit 13 Engine Warranty per unit 14 Depreciation 52,000 94,000 8 52,000 94,000 20,000 250,000,000 52,000 52,000 52,000 52,000 52,000 94,000 94,000 94,000 94,000 155,000,000 94,000 155,000,000 155,000,000 250,000,000 1,100 155,000,000 155,000,000 155,000,000 250,000,000 250,000,000 1,100 1,000 250,000,000 250,000,000 250,000,000 4,776 1,100 1,100 1,100 0 6,512 1,000 1,000 1,000 1,000 1,000 360,000,000 60,000,000 300,000,000 60,000,000 120,000,000 180,000,000 240,000,000 EBIT ($000) 15 1,282,476,9001,222,476,900 1,162,476,900 1,102,476,900 1,042,476,900 982,478,000 16 Taxes @ 40% NOPAT ($000) 17 18 Add back depreciation 19 Operating Cash Flow ($000)

Year
Year
Year
Year
Year
Year
Year
7
8
9
10
11
12
13
225,500
225,500
225,500
225,500
225,500
225,500
225,500
7,750
7,750
1,747,625,000 1,747,625,000
7,750
7,750
7,750
7,750
7,750
1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,6 25,000
52,000
94,000
52,000
94,000
52,000
52,000
52,000
52,000
52,000
94,000
94,000
155,000,000
94,000
155,000,000
94,000
155,000,000
94,000
155,000,000
155,000,000
155,000,000
155,000,000
250,000,000
250,000,000
250,000,000
250,000,000
250,000,000
250,000,000
250,000,000
0
0
0
0
1,000
1,000
1,000
1,000
1,000
1,000
1,000
360,000,000
420,000,000
480,000,000
540,000,000
600,000,000
660,000,000
720,000,000
982,478,000
922,478,000
862,478,000
802,478,000
742,478,000 682,478,000
622,478,000

Image Transcription

Year Year Year Year Year Year Year 7 8 9 10 11 12 13 225,500 225,500 225,500 225,500 225,500 225,500 225,500 7,750 7,750 1,747,625,000 1,747,625,000 7,750 7,750 7,750 7,750 7,750 1,747,625,000 1,747,625,000 1,747,625,000 1,747,625,000 1,747,6 25,000 52,000 94,000 52,000 94,000 52,000 52,000 52,000 52,000 52,000 94,000 94,000 155,000,000 94,000 155,000,000 94,000 155,000,000 94,000 155,000,000 155,000,000 155,000,000 155,000,000 250,000,000 250,000,000 250,000,000 250,000,000 250,000,000 250,000,000 250,000,000 0 0 0 0 1,000 1,000 1,000 1,000 1,000 1,000 1,000 360,000,000 420,000,000 480,000,000 540,000,000 600,000,000 660,000,000 720,000,000 982,478,000 922,478,000 862,478,000 802,478,000 742,478,000 682,478,000 622,478,000

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