The following is the total figures over the lifetime oi a project• Revenue (P&L): $300m• Opex (P&L): $50m• Working capital adjustments: $0m• Construction capex: $90m• Interest During Construction (IDC) and Financing Fees (FF): $10m• Maintenance capex: $0m• Tax paid (geared): $30m• Tax paid (ungeared): $50m• Interest paid: $20m• Principal paid: $70m• Equity injection: $30mCalculate the total of CFADS over the lifetime of the project.O $100mO $180mO $200mO $220mO $250mO $280m

Cash Flow Available for Debt Service (CFADS) measures the cash generated by a project or investment…

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Calculate the total of CFADS over the lifetime of the project.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

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Concept explainers

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.

Question

The following is the total figures over the lifetime oi a project
• Revenue (P&L): $300m
• Opex (P&L): $50m
• Working capital adjustments: $0m
• Construction capex: $90m
• Interest During Construction (IDC) and Financing Fees (FF): $10m
• Maintenance capex: $0m
• Tax paid (geared): $30m
• Tax paid (ungeared): $50m
• Interest paid: $20m
• Principal paid: $70m
• Equity injection: $30m
Calculate the total of CFADS over the lifetime of the project.
O $100m
O $180m
O $200m
O $220m
O $250m
O $280m

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