Based on the information below, please conduct a break even analysisStartup CostsLicense: $1,500Equipment/Capital CostsPurchase of business: $100,000Start-up capital: $100,000Food equipment: $150,000Permits: $1,000Rental lease costs (rent advance/deposit):$25.000Computer equipment: $5,000Computer software: $25,000Insurances: $30,000Uniforms: $2,000PPE: $3,000Flyers/Business Cards: $500Total: $63,000Phones: $4,500Security system: $6,000Total: $390,500

Break Even point is a level at which firm earns no profit or incurred no losses. At this point,…

Based on the information below, please conduct a break even analysis Startup Costs License: $1,500 Permits: $1,000 Equipment/Capital Costs Purchase of business: $100,000 Start-up capital: $100,000 Food equipment: $150,000 Rental lease costs (rent advance/deposit): $25,000 Computer equipment: $5,000 Computer software: $25,000 Phones: $4,500 Insurances: $30,000 Uniforms: $2,000 PPE: $3,000 Flyers/Business Cards: $500 Total: $63,000 Security system: $6,000 Total: $390,500

Based on the information below, please conduct a break even analysis Startup Costs License: $1,500 Permits: $1,000 Equipment/Capital Costs Purchase of business: $100,000 Start-up capital: $100,000 Food equipment: $150,000 Rental lease costs (rent advance/deposit): $25,000 Computer equipment: $5,000 Computer software: $25,000 Phones: $4,500 Insurances: $30,000 Uniforms: $2,000 PPE: $3,000 Flyers/Business Cards: $500 Total: $63,000 Security system: $6,000 Total: $390,500

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

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Based on the information below, please conduct a sales and expense forecast Startup Costs License: $1,500 Equipment/Capital Costs Purchase of business: $100,000 Start-up capital: S100,000 Food equipment: $150,000 Permits: $1,000 Rental lease costs (rent advance/deposit): $25,000 Insurances: $30,000 Computer equipment: $5,000 Computer software: $25,000 Phones: $4,500 Uniforms: $2,000 PPE: $3,000 Flyers/Business Cards: $500 Total: $63,000 Security system: $6,000 Total: $390,500
On October 1, Midway Distribution Company is considering leasing a building and purchasing the necessary equipment to operate a retail store. Alternatively, the company could use the funds to invest in $150,400 of 5% U.S. Treasury bonds that mature in 16 years. The bonds could be purchased at face value. The following data have been assembled: Cost of store equipment $150,400 Life of store equipment 16 years Estimated residual value of store equipment $19,000 Yearly costs to operate the store, excluding depreciation of store equipment $56,900 Yearly expected revenues—years 1-8 $74,100 Yearly expected revenues—years 9-16 $70,800 Required: Question Content Area 1. Prepare a differential analysis as of October 1 to determine whether to Operate Retail Store (Alternative 1) or Invest in Bonds (Alternative 2). If an amount is zero, enter zero "0". For those boxes in which you must enter subtracted or negative numbers use a minus sign. Differential…
(please solve within 20-30min.)
Dave Krug finances a new automobile by paying $6,800 cash and agreeing to make 40 monthly payments of $580 each, the first payment to be made one month after the purchase. The loan bears interest at an annual rate of 12%. What is the cost of the automobile? (PV of $1. EV of $1. PVA of $1. and EVA of $1) Note: Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places. Monthly Payment 580 Table Values are based on: Present Value of Loan n = Table Factor $ 40 12% Cash Down Payment 6,800 - Present Value of Loan Cost of the Automobile
Carowinds Start-Up Analysis Projected Start-Up cost Cost in USD Initial Franchise Fee 75,000 Land & Development 1,500,000 Vendors 30,000 Equipment 350,000 Electronic Cash register 25,000 Safe 3,000 Computer hardware and software 20,000 Licenses & Permits 5,000 Property Taxes 75,000 Uniforms 2,000 Insurance 50,000 Training 3,000 Marketing & Promotion 15,000 Total Start-Up Cost 2,078,000 Projected Finance Loans Personal Investment 78,000 SRP Bank 750,000 PPP Loan 500,000 SBA Loan 500,000 Investors 250,000 Total Finance Sources 2,078,000 Please conduct a balance sheet for this them park.
Please answer fast without plagiarism please
You are an employee of University Consultants, Limited, and have been given the following assignment. You are to present an investment analysis of a small retail income-producing property for sale to a potential investor. The asking price for the property is $1,360,000; rents are estimated at $174,080 during the first year and are expected to grow at 2.5 percent per year thereafter. Vacancies and collection losses are expected to be 10 percent of rents. Operating expenses will be 35 percent of effective gross income. A fully amortizing 70 percent loan can be obtained at 6 percent interest for 30 years (total annual payments will be monthly payments × 12). The property is expected to appreciate in value at 3 percent per year and is expected to be owned for five years and then sold. Required: a. What is the first-year debt coverage ratio? b. What is the terminal capitalization rate? c. What is the investor’s expected before-tax internal rate of return on equity invested (BTIRR)? d.…
Apply WACC in IRR. Leeward Sailboats is reviewing the following new boat line: Click on the Icon in order to copy its content into a spreadsheet. Category T₁ Investment Net working capital change Operating cash flow Salvage To - $10,244,762 - $569,000 $3,277,000 What is the IRR of the project? 10.5% (Round to two decimal places.) T2 $3,884,000 T3 $569,000 $4,570,000 $615,000 At what adjusted WACCS will the company accept this project? Hint: Find the IRR of the project, and use it as the maximum adjusted WACC for accepting the project.
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Tippy Toe Spa Company offers various services, such facials, laser hair removal and microdermabrasion. Currently, the company is considering purchasing the following spa equipment: Laser Hair Removal Machines Microdermabrasion Machines Facial Oxygen Units $64,500 $27,000 $126,400 $37,800 $91,400 $27,200 11% Cost per Machine Annual Cash Inflow Annual Cash Outflow Required Rate of Return Useful Life Residual Value 4 years $890 $29,700 $212,200 $197,900 14% 3 years $890 Laser Hair Removal Machine: Answer Years Microdermabrasion Machine: Answer Years Facial Oxygen Unit: Answer Years 7% Assume that each equipment's annual cash flow will occur for the period equal to its useful life. Do not enter dollar signs or commas in the input boxes. Use the present values tables in the textbook appendix. Use the negative sign for negative values. Round your answers to the nearest whole number. a) Determine the NPV of each piece of equipment. Laser Hair Removal Machine: $Answer Microdermabrasion…
A machine shop wishes to set aside money now to invest over the next 4 years in automating its customer service department. They now earn 10% on a lump sum deposited, and they wish to withdraw the money in the following increments: Year 1: $25,000 to purchase a computer and database software designed for customer service use Year 2: $3000 to purchase additional hardware to accommodate growth in the use of the system Year 3: No expenses Year 4: $5000 to purchase software upgrades. 1- Draw the cash flow diagram 2- How much money must be deposited now to cover the anticipated payments over the next 4 years?
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