Company Express S. A. asks you to construct cash flows for following three (3) investment projects, containing following information:PROJECT 1a. Sales (in ThCh$):- Year 1: 90,000- Year 2: 55,000- Year 3: 75,000- Year 4: 190,000b. Cost of sales is estimated at 53% of sales.c. Depreciation for year is ThCh$ 15,000 per period (period 1 to 3). In year 4 there is a sale of machinery that results in a gain on sale of non-current assets of ThCh$ 9,800. Total depreciation for year 4 is ThCh$ 12,500.d. Administrative expenses are equivalent to 17% of sales.e. In period 0 there is an investment of ThCh$ 58,000.f. There is credit financing of ThCh$ 32,000 which is amortized in equal parts of ThCh$ 8,000 per period with a financial expense of ThCh$ 3,700 per period.g. There is an investment in working capital of ThCh$ 24,000 in period 0, which is recovered in period 4.h. In period 4 there is an investment in land of ThCh$ 40,000.i. Income tax rate is 17%. Calculate: cash flow per period. Please use an Excel spreadsheet. Thanks
Company Express S. A. asks you to construct cash flows for following three (3) investment projects, containing following information:
PROJECT 1
a. Sales (in ThCh$):
- Year 1: 90,000
- Year 2: 55,000
- Year 3: 75,000
- Year 4: 190,000
b. Cost of sales is estimated at 53% of sales.
c.
d. Administrative expenses are equivalent to 17% of sales.
e. In period 0 there is an investment of ThCh$ 58,000.
f. There is credit financing of ThCh$ 32,000 which is amortized in equal parts of ThCh$ 8,000 per period with a financial expense of ThCh$ 3,700 per period.
g. There is an investment in working capital of ThCh$ 24,000 in period 0, which is recovered in period 4.
h. In period 4 there is an investment in land of ThCh$ 40,000.
i. Income tax rate is 17%.
Calculate: cash flow per period. Please use an Excel spreadsheet. Thanks
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