Scenario Example

Scenario Example - Taxable Income(EBIT $90,500 Tax Exp...

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Capital Spending Year 0 Sales and Cost Estim Cost of New Machine $200,000 Annual Depreciation 5yr S-L $40,000 Lower Other Inputs Units 5,500 Tax Rate 34% Sale Price Per unit $75 Discount Rate 12% Variable Costs Per Unit $58 Fixed Costs $45,000 Scenarios Based on Sales and Best Units 6,500 Sale Price Per unit $85 Variable Costs Per Unit $58 Fixed Costs $45,000 Sales $552,500 Variable Costs $377,000 Cash Flows for Years 1 to 5 for Best Revenues $552,500 Variable Costs $377,000 Fixed Costs $45,000 Depreciation $40,000
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Unformatted text preview: Taxable Income (EBIT) $90,500 Tax Exp $30,770 NI $59,730 OCF $99,730 NPV $159,504 mates Base Upper 6,000 6,500 $80 $85 $60 $62 $50,000 $55,000 Cost Estimates Base Worst 6,000 5,500 $80 $75 $60 $62 $50,000 $55,000 $480,000 $412,500 $360,000 $341,000 r Each Scenario Base Worst $480,000 $412,500 $360,000 $341,000 $50,000 $55,000 $40,000 $40,000 $30,000-$23,500 $10,200-$7,990 $19,800-$15,510 $59,800 $24,490 $15,566-$111,719...
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This note was uploaded on 10/08/2009 for the course BCOR 2200 taught by Professor Tomnelson during the Spring '08 term at Colorado.

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Scenario Example - Taxable Income(EBIT $90,500 Tax Exp...

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