Paper, Order, or Assignment Requirements
The project is EXCEL based evaluation of the business plan. The business plan has future projections of balance sheets and income statements items for three to five years. The valuation of the project requires estimation of the project’s weighted average cost of capital (WACC) and then computing the net present value (NPV) of the project. To calculate the project’s NPV you will need to estimate the terminal value at the end of the high growth period and discount it back to time zero. You have already been working with examples like that in the valuation’s module. You are provided with an EXCEL sheet that contains a template that you can use to input specific data for your project. You will be required to submit the EXCEL template with a final one page report explaining whether or not the project is acceptable. In case of project being acceptable you should highlight sensitive balance sheet or income statement’s items that are critical for the future success of the project. In case of the project being unacceptable you should provide your analysis of why this is the case and what critical factors that may need to change before the project becomes acceptable. If the project is done as a group, then each student of the group should submit different scenarios of the analysis. For example, one student could use a growth rate of 5% and WACC of 12% while another student could use growth rate of 6% and WACC of 11%. It will be required then to combine the different growth rates and WACC into a table showing the NPVs under different scenarios. A group report will be needed to explain the scenarios’ table.
*the income statement and balance sheet is uploaded
*the sample of the project is uploaded as well
*the project should contain two separated excel sheet with explanation and report in ( word ).
*Contact us for any information.