Red highlighted are base calculations key results

unit sale price 115 NPV 13.36

Variable cost 0.55 IRR 12.82%
factory cost 150 Goal seek pairs sold
equipment cost including F&I 20 lost sales
terminal market value factory 102 WC Y1 to Y5
terminal market value equipment 3 INV
SG&A 7 AP
endorsement fees except 2016 2 AR
endorsement fees 2016 3 WC
inventory Y0 15 WC cash flows
AP Y0 5 total capex
AR y0 0 Dep rate
WC y0 10 Dep rate
INV % of VC 0.25 Depreciation
AP % of VC 0.2 Depreciation
AR % of revenues 0.08 Depreciation
Tax rate 0.4 Depreciation
discount rate 0.11
pairs sold 2016 2.4

2013 beginning 2013 2014

0 1 2

Sales revenues 138 184

Revenues lost 35 15
net revenues 103 169
Variable cost 56.65 92.95
SG&A 7 7
Endorsement fees 2 2
A&P 25 15
Dep factory 3.9 7.5
equipment 4 6.4
EBIT 4.45 38.15
Taxes 1.78 15.26
NOPAT 2.67 22.89
Add: dep factory 3.9 7.5
equipment 4 6.4
OCF 10.57 36.79
CF due to NWC 10 1.0725 7.095
CF due to Capex 170
Net cash flows -180 9.4975 29.695
NPV 13.36
IRR 12.82%
2013 beginning 2013 2014 2015 2016 2017
0 1 2 3 4 5
1.2 1.6 1.4 2.4 1.8
35 15

14.1625 23.2375 22.1375 37.95 28.4625

11.33 18.59 17.71 30.36 22.77
8.24 13.52 12.88 22.08 16.56
10 11.0725 18.1675 17.3075 29.67 22.2525
10 1.0725 7.095 -0.86 12.3625 -7.4175
170
factory 2.60% 5% 4.70% 4.50% 4.30%
equipment 20% 32% 19% 12% 11%
factory 3.9 7.5 7.05 6.75 6.45
factory cum. 3.9 11.4 18.45 25.2 31.65
equipment 4 6.4 3.8 2.4 2.2
equipment cum. 4 10.4 14.2 16.6 18.8

2015 2016 2017 2018

3 4 5 6

161 276 207 103.5

161 276 207 103.5

88.55 151.8 113.85 56.925
7 7 7 7
2 3 2 2
10 30 25 15
7.05 6.75 6.45 6
3.8 2.4 2.2 1.2
42.6 75.05 50.5 15.375
17.04 30.02 20.2 6.15
25.56 45.03 30.3 9.225
7.05 6.75 6.45 6
3.8 2.4 2.2 1.2
36.41 54.18 38.95 16.425
-0.86 12.3625 -7.4175 22.2525
107.94
37.27 41.8175 46.3675 146.6175
 2018 SV in terminal year factory equipment
6 MV of factory 102 3
0.9 BV of factory 112.35 0
Loss/gain on sale -10.35 3
tax benefit/paid 4.14 -1.2
CF from SV 106.14 1.8

22.2525

4.00%
6%
6
37.65
1.2
20