| Below is a partially completed capital budgeting analysis: | ||||||||||
| Year 0 | Year 1 | Year 2 | Year 3 | |||||||
| Building Cost | -52,000 | Building, Equipment, and Investment in WC costs occur only at time zero. | ||||||||
| Equipment Cost | -38,000 | |||||||||
| Investment WC | -20,000 | |||||||||
| Sales Revenue | 31,604,000 | 23,005,500 | 32,507,500 | |||||||
| Less: Operating Costs | 22,250,000 | 13,803,850 | 21,355,250 | |||||||
| Less: Depreciation | 9,400,000 | 9,400,000 | 9,400,000 | |||||||
| EBIT | 0 | 0 | 0 | |||||||
| Less: Taxes | -50,400 | 835,373 | 94,145 | |||||||
| NOPAT | 0 | 0 | ||||||||
| Plus: Depreciation | 9,400,000 | 9,400,000 | 9,400,000 | |||||||
| Operating Cash Flow | -34,000 | |||||||||
| a) Examine the analysis to ensure it contains no formula errors, then complete any missing calculations. | ||||||||||
| b) Apply custom formatting to the entire application (except labels) so that numbers display with a thousands separator, in whole numbers, and IN THOUSANDS | ||||||||||
| c) Modify the analysis so that IF a company has a negative NOPAT, the operating cash flow for that year and all following | ||||||||||
| years is set to zero. For example, if the NOPAT in year 1 < 0, then year 1, 2, and 3 operating cash flow should be set to 0. | ||||||||||
Enjoy 24/7 customer support for any queries or concerns you have.
Phone: +1 213 3772458
Email: support@gradeessays.com