Unit Sales 3200 3328 250 S 800,000 S 185 S Selling Price 256 | S 852,800 | S 190 $ 631,072 | S 242,253 S (20,524)| S Revenues Cost per Unit 592,000 S 181,649 | S 26,352 | S Costs Depreciation EBIT

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
icon
Related questions
Question

How do you calculate NPV?

WACC is 10.10%

 

A
В
D
E
F
1
Year
1
2
3
4
Unit Sales
3200
3328
3461
3600
256 S
852,800 | S
190 | S
631,072 S
242,253 S
(20,524) S
(6,157) S
(14,367) S
242,253 S
227,885 | S
263 $
909,085 S
194 S
3
Selling Price
250 | S
269
800,000 S
185 S
592,000 S
181,649 | S
26,352 | S
7,905 S
18,446 S
181,649 | S
200,095 S
4
Revenues
969,084
Cost per Unit
199
672,723 S
80,715 S
155,648 S
46,694 S
108,953 S
80,715 | S
189,668 S
Costs
717,122
40,385
211,577
63,473
148,104
40,385
188,489
6.
7
Depreciation
8
ЕBIT
9.
Тахes @30%
10
NOPAT
Depreciation
Operating Cash Flow
Initial Invetsment
11
12
S (545,000)|
13
After Tax Salvage Value
Invetsment in Net Working Capital
Net Invetsment in working Capital
14
66,500
160,000 S
(160,000) S
$ (705,000) S
(705,000) S
170,560 S
(10,560)| S
189,535 S
172,148 S
181,817 | S
(11,257)| S
216,628 | S
178,707| S
193,817
(12,000) S
177,668 S
133,121 S
15
193,817
448,806
305,428
16
17
Net Cash fLows
18 Present Value of Cash Flows at WACC 10.10% S
Transcribed Image Text:A В D E F 1 Year 1 2 3 4 Unit Sales 3200 3328 3461 3600 256 S 852,800 | S 190 | S 631,072 S 242,253 S (20,524) S (6,157) S (14,367) S 242,253 S 227,885 | S 263 $ 909,085 S 194 S 3 Selling Price 250 | S 269 800,000 S 185 S 592,000 S 181,649 | S 26,352 | S 7,905 S 18,446 S 181,649 | S 200,095 S 4 Revenues 969,084 Cost per Unit 199 672,723 S 80,715 S 155,648 S 46,694 S 108,953 S 80,715 | S 189,668 S Costs 717,122 40,385 211,577 63,473 148,104 40,385 188,489 6. 7 Depreciation 8 ЕBIT 9. Тахes @30% 10 NOPAT Depreciation Operating Cash Flow Initial Invetsment 11 12 S (545,000)| 13 After Tax Salvage Value Invetsment in Net Working Capital Net Invetsment in working Capital 14 66,500 160,000 S (160,000) S $ (705,000) S (705,000) S 170,560 S (10,560)| S 189,535 S 172,148 S 181,817 | S (11,257)| S 216,628 | S 178,707| S 193,817 (12,000) S 177,668 S 133,121 S 15 193,817 448,806 305,428 16 17 Net Cash fLows 18 Present Value of Cash Flows at WACC 10.10% S
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Essentials Of Investments
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
FUNDAMENTALS OF CORPORATE FINANCE
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:
9781260013962
Author:
BREALEY
Publisher:
RENT MCG
Financial Management: Theory & Practice
Financial Management: Theory & Practice
Finance
ISBN:
9781337909730
Author:
Brigham
Publisher:
Cengage
Foundations Of Finance
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education