Year 0 1 2 3 4 5

Price 0 35 35.9 36.8 37.7 38.6

Quantity 0 8000 7000 12000 10000 7000
P*Q= Sales 280000 251125 441262.5 376911.72 270434.16
Cost © 0 18 19.4 21.0 22.7 24.5
Total Cost 0 144000 136080 251942.4 226748.16 171421.61
EBITDA 0 136000 115045 189320.1 150163.56 99012.549
Working Capital 14000 28000 25112.5 44126.25 37691.172 0
Cost of Machine 125000 0 0 0 0 0
Depreciation 0 25000 40000 24000 14400 14400
Cost of Building 162000 0 0 0 0 0
Depreciation 0 6075 11696.4 10821.6 10011.6 9250.2
EBIT 0 104925 63348.6 154498.5 125752 75362.349
Tax 0 35149.875 21221.781 51757 42126.906 25246.387
PAT 0 69775.125 42126.819 102741.5 83625.053 50115.962
Add: Depreciation 0 100850.13 93823.219 137563.1 108036.65 73766.162
Less: Addl Capex 0 0 0 0 0 0
Less: Changes in WC 14000 14000 -2887.5 19013.75 -6435.078 -37691.17
FCF 0 86850.125 96710.719 118549.35 114471.73 111457.33
 Rate of Increase of SP/year 1.025
Rate of Increase in Cost/year 1.08
Depreciation %age Yr 1 Yr 2
Machine 20% 32%
Building 3.75% 7.22%
Working Cap as %age of Sales 10%
Tax Rate 33.50%

Sum of Dep 117800 Sale Price of machine 28960

Book value 7200
Profit 21760
Tax on profit @33.5% 7289.6
Cash after tax 21670.4
Yr 3 Yr 4 Yr 5
19.20% 11.52% 11.52%
6.68% 6.18% 5.71%