Republika Inc. reported the following prospective information: Year 1 Year 2 Year 3 Revenues 750,000 1,200,000 1,600,000 Cost of Goods Sold 400,000 650,000 900,000 Operating Expenses 150,000 200,000 300,000 Income tax rate is at 30%. Capital investment of Php150,000 is expected to be spent every year while working capital investment is at Php40,000. Depreciation of property is at Php200,000 yearly. Q1: How much is the projected net cash flows for year 2? Q2: How much is the projected net income for Year 3? Q3: How much is the EBITDA in year 1?
Republika Inc. reported the following prospective information: Year 1 Year 2 Year 3 Revenues 750,000 1,200,000 1,600,000 Cost of Goods Sold 400,000 650,000 900,000 Operating Expenses 150,000 200,000 300,000 Income tax rate is at 30%. Capital investment of Php150,000 is expected to be spent every year while working capital investment is at Php40,000. Depreciation of property is at Php200,000 yearly. Q1: How much is the projected net cash flows for year 2? Q2: How much is the projected net income for Year 3? Q3: How much is the EBITDA in year 1?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Republika Inc. reported the following prospective information:
| Year 1 | Year 2 | Year 3 | |
| Revenues
|
750,000 | 1,200,000 | 1,600,000 |
| Cost of Goods Sold | 400,000 | 650,000 | 900,000 |
| Operating Expenses | 150,000 | 200,000 | 300,000 |
Income tax rate is at 30%. Capital investment of Php150,000 is expected to be spent every year while
Q1: How much is the projected net
Q2: How much is the projected net income for Year 3?
Q3: How much is the EBITDA in year 1?
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