NP_EX19_9b_SabrinaCapozzi-Herrera_2

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Western Illinois University *

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320

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Information Systems

Date

Dec 6, 2023

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ChargeAll PERFORM FINANCIAL CALCULATIONS Sabrina Capozzi-Herrera New Perspectives Excel 2019 | Module 9: SAM Project 1b Do not edit this sheet. If your name does not appear in cell B6, please download a new copy of the file from the S website.
AM
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New Product Loan Analysis ChargeAll Full-Room Wireless Charger Loan Conditions Loan amount (pv) $478,000 Annual interest rate 4.85% Monthly interest rate (rate) 0.40% Loan period in years 5 Loan period in months (nper) 60 Monthly payment ($8,988) Start date of loan 1/6/2022
Principal and Interest Payments Year 1 Year 2 Year 3 Year 4 Months 1 13 25 37 12 24 36 48 Interest ($21,275) ($16,982) ($12,475) ($7,745) Principal ($86,576) ($90,870) ($95,376) ($100,106) Principal remaining $391,424 $300,554 $205,177 $105,071 Remaining % 82% 63% 43% 22%
Year 5 49 60 Total ($2,781) ($61,258) ($105,071) ($478,000) $0 0%
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New Product Depreciation Schedule ChargeAll Full-Room Wireless Charger Hardware Long-term assets (cost) $ 478,000 Salvage value (salvage) $ 75,650 Life of asset (life) 6 Straight-Line Depreciation Year 1 2 3 4 5 6 Annual depreciation $67,058 $67,058 $67,058 $67,058 $67,058 $67,058 Cumulative depreciation $67,058 $134,117 $201,175 $268,233 $335,292 $402,350 Depreciated asset value $410,942 $343,883 $276,825 $209,767 $142,708 $75,650 Declining Balance Depreciation Year 1 2 3 4 5 6 Annual depreciation Err:502 $93,102 $68,430 $50,296 $36,968 $27,171 Cumulative depreciation Err:502 Err:502 Err:502 Err:502 Err:502 Err:502 Depreciated asset value Err:502 Err:502 Err:502 Err:502 Err:502 Err:502 Yearly depreciation allowance for the first year: Yearly depreciation allowance for the last year:
New Product Estimated Earnings ChargeAll Full-Room Wireless Charger Percent cost of sales & marketing 28% Percent cost of research & development 22% Income Year 1 Year 2 Year 3 Year 4 Year 5 Sales $ 825,000 $ 1,068,750 $ 1,312,500 $ 1,556,250 $ 1,800,000 Cost of sales & marketing 231,000 299,250 367,500 435,750 504,000 Cost of research & development 181,500 235,125 288,750 342,375 396,000 Gross Profit $ 412,500 $ 534,375 $ 656,250 $ 778,125 $ 900,000 Expenses Insurance $ 22,000 $ 24,250 $ 25,563 $ 26,941 $ 28,388 Licensing 24,000 25,250 26,563 27,941 29,387 Miscellaneous 15,000 15,750 16,538 17,364 18,233 Payroll 400,000 443,000 517,300 542,330 618,563 Rent 45,000 46,800 48,672 50,619 52,644 Utilities 55,000 58,000 61,150 64,457 67,930 Total General Expenses $ 561,000 $ 613,050 $ 695,785 $ 729,652 $ 815,144 Initial Earnings $ (148,500) $ (78,675) $ (39,535) $ 48,473 $ 84,856 Year 1 Year 2 Year 3 Year 4 Year 5 $- $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 $900,000 $1,000,000 Estimated Gross Profit Income 0 10 20 30 40 50 60 $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 Projected Monthly Revenue Months in Operation Revenue
Month Month Number Revenue Jan 2022 1 63,443 Feb 2022 2 58,967 Mar 2022 3 65,268 Apr 2022 4 69,665 May 2022 5 71,775 Jun 2022 6 76,834 Jul 2022 7 71,995 Aug 2022 8 76,935 Sep 2022 9 78,021 Oct 2022 10 81,566 Nov 2022 11 83,775 Dec 2022 12 90,756 Jan 2023 13 85,064 Feb 2023 14 84,761 Mar 2023 15 81,968 Apr 2023 16 82,623 May 2023 17 82,529 Jun 2023 18 82,181 Jul 2023 19 80,015 Aug 2023 20 82,631 Sep 2023 21 84,166 Oct 2023 22 84,570 Nov 2023 23 84,621 Dec 2023 24 86,866 Jan 2024 25 89,089 Feb 2024 26 93,192 Mar 2024 27 93,488 Apr 2024 28 95,502 May 2024 29 97,665 Jun 2024 30 98,488 Jul 2024 31 98,255 Aug 2024 32 98,738 Sep 2024 33 98,550 Oct 2024 34 99,111 Nov 2024 35 100,477 Dec 2024 36 101,448 Jan 2025 37 105,028 Feb 2025 38 106,887 Mar 2025 39 107,982 Apr 2025 40 107,994
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May 2025 41 108,215 Jun 2025 42 104,568 Jul 2025 43 103,865 Aug 2025 44 106,495 Sep 2025 45 107,125 Oct 2025 46 107,886 Nov 2025 47 108,084 Dec 2025 48 108,874 Jan 2026 49 108,643 Feb 2026 50 108,518 Mar 2026 51 109,643 Apr 2026 52 108,444 May 2026 53 109,663 Jun 2026 54 109,293 Jul 2026 55 108,183 Aug 2026 56 109,650 Sep 2026 57 110,430 Oct 2026 58 110,605 Nov 2026 59 109,093 Dec 2026 60 109,830
New Product Investor Returns ChargeAll Full-Room Wireless Charger Repayment Schedule Payments Net Cash Flow Startup $ (295,000) $ (295,000) Year 1 55,000 (240,000) Year 2 75,000 (165,000) Year 3 87,500 (77,500) Year 4 100,500 23,000 Year 5 125,500 148,500 Desired rate of return 10.00% Present value $ 324,292 Net present value (npv) $ 29,292 Internal rate of return 13.34%
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