Periods (years, months..

)
0 1 2 3 4 5
Sales Revenue
Interest on Deposits
+ Other Income
+/- Capital Gains/Losses
Fixed Costs
Variable Costs
Interest Payment on Loans
Legal Depreciations
Losses from the Previous Year
Profit Before Taxes
Income tax
Net Income After Taxes
Legal Depreciations
+ Losses from the Previous Year
Capital Gains/Losses
Operational Cash Flow
Fixed Investment
Residual Value of the Assets
Working Capital
Recovery of Working Capital
Loans
Amortizations
Capital Flows
Private Cash Flow

PERFORMANCE MEASURES
6 7 ….
 PRACTICAL EXERCISE N° 01

In the study of a new project, annual sales of 10,000 units are estimated at a price of $100 each. Starting from the eighth year, ...
Plant that allows to double production and sales.

The technical study indicates that the unit manufacturing costs could be: Labor: $6; materials: $8; Indirect costs: $4

The fixed manufacturing costs are estimated at $200,000 annually. The expansion of the plant will require hiring a supervisor with a
monthly.

The initial investment consists of:

Land $1,000,000
Works of art $1,400,000
Machinery $600,000

The expansion will require doubling the investment in equipment and carrying out physical works for $600,000.

Assets depreciate in the following way:

Obrasfsicas 2% annual
Machinery 10% annual

Nominal assets are amortized at a rate of 20% per year. The tax rate is 10% on profits. Working capital is
labor and manufacturing materials. Annual administration and sales expenses amount to $150,000.

The project requires that financing be requested for 80% of the initial investment. A financial institution offers the loan amount.
2% to pay it in 3 years.

Prepare the cash flow to evaluate the project.

DATA

LEVEL OF production 10,000 units/year

selling price 100 dollars/unit

period 8: plant expansion

level of production 20000 units/year

unit manufacturing costs 18

labor 6 dollars/unit
materials 8 dollars/unit
indirect costs 4 dollars/unit

fixed costs 200,000 dollars/year

supervision contract (for the expansion) 10000 dollars/month

initial inversion
lands 1,000,000 dollars
physical works 1,400,000 dollars
machinery 600,000 dollars

expansion(year 8)
machinery 1,200,000 dollars
physical works 600,000 dollars

DEPRECIATION RATE
physical works 2% per year
machinery 10% per year
nominal assets 20% per year

tax rate 10%

working capital 60% (labor and materials expenses)

 administration and sales expenses 150,000 dollars/year

financing
loan 80% of the investment
interest rate 2% monthly
payment period 3 years

INCOME 0 1 2 3 4
units sold 10000 10000 10000 10000
selling price 100 100 100 100
income from sales 1000000 1,000,000 1000000 1000000

EXPENSES 0 1 2 3 4
fixed costs 200000 200000 200000 200000
variable labor costs 60000 60000 60000 60000
variable material costs 80000 80000 80000 80000
indirect costs 40000 40,000 40000 40000
administrative and sales expenses 150000 150000 150000 150000
supervisor contract
expenses 530000 530000 530000 530000

DEPRECIATION 0 1 2 3 4
initial physical works 28000 28000 28000 28000
initial machinery 60000 60000 60000 60000
land 200000 200000 200,000 200,000
physical expansion works
expansion machinery
DEPRECIATION 288000 288000 288000 288000

INVESTMENT 0 1 2 3 4
initial physical works 1400000
initial machinery 600000
land 1000000
physical works of expansion
expansion machinery
working capital 84000
investment three million eighty-four thousand

ECONOMIC CASH FLOW 0 1 2 3 4

sales revenue 1,000,000 1,000,000 1,000,000 1,000,000
expenses -530000 -530000 -530000 -530000
DEPRECIATION -288000 -288000 -288000 -288000
Profit Before Tax 182000 182000 182000 182000
Income tax (10%) -18200 -18200 -18200 -18200
Utility After Taxes 163800 163800 163800 163800
DEPRECIATION 288000 288000 288000 288000
operating cash flow 451800 451800 451800 451800
inversion -3084000
residual value of assets
working capital recovery
cash flow -3084000 451800 451800 451800 451800

TIRE 9%
VANE -112303.86852108

FINANCING

Loan 2400000 nominal (effective) annual rate

interest rate 2% monthly 0.24 annual
number of periods 3 years

quota S/1,211,324.02
period quota interests amortization of the credit debt balance
0 2400000
1 1211324.01524778 576000 635324.015247777 1,764,675.98
2 1211324.01524778 423522.2363405 787801.778907243 S/976,874.21
3 1211324.01524778 234449.8094028 976874.205844981 -S/0.00

FINANCIAL CASH FLOW 0 1 2 3 4

income from sales 1000000 1,000,000 1,000,000 1,000,000
expenses -530000 -530000 -530000 -530000
DEPRECIATION -288000 -288000 -288000 -288000
interest -576000 -423522.236340534 -234449.809402795
Profit Before Taxes -394000 -241522.236340533 -52449.8094027953 182000
Income tax (10%) 0 0 0 -18200
Profit After Taxes -394000 -241522.236340533 -52449.8094027953 163800
DEPRECIATION 288000 288000 288000 288000
operating cash flow 451800 451800 451800 451800
inversion -3084000
we lend 2400000
amortization -635324.015248 -787801.778907243 -976874.205844981
residual value of assets
recovery of working capital
cash flow -684000 -289524.015248 -289524.015247777 -289524.015247777 903600

TIRF 31%
506282.103831986
the program is an expansion of the

on a remuneration of $10,000

and it estimates 60% of the annual expenditure in

at a monthly interest rate of

o

ad
ad
ad

this is salvage depreciation

30% 70%

at the end of the 10 at rescue

20% 80%
100% 0

of manufacturing)
 5 6 7 8 9 10
10000 10000 10000 20000 20000 20000
100 100 100 100 100 100
1,000,000 1,000,000 1000000 2000000 2000000 2000000

5 6 7 8 9 10
200000 200,000 200000 200000 200,000 200000
60000 60000 60000 120,000 120000 120000
80000 80000 80000 160000 160000 160000
40000 40000 40000 80000 80000 80000
150000 150000 150000 150000 150000 150000
120000 120000 120000
530000 530000 530000 830000 830000 830000

5 6 7 8 9 10
28000 28000 28000 28000 28000 28000
60000 60000 60000 60000 60000 60000
200000
12000 12000 12000
120,000 120000 120000
288000 88000 88000 220000 220000 220000

5 6 7 8 9 10
 600000
1,200,000
84000
1884000

5 6 7 8 9 10
1000000 1,000,000 1,000,000 2000000 2000000 2000000
-530000 -530000 -530000 -830000 -830000 -830000
-288000 -88000 -88000 -220000 -220000 -220000
182000 382000 382000 950000 950000 950000
-18200 -38200 -38200 -95000 -95000 -95000
163800 343800 343800 855000 855000 855000
288000 88000 88000 220000 220000 220000
451800 431800 431800 1075000 1075000 1075000
-1884000
840000
168000
451800 431800 -1452200 1,075,000 1075000 2083000
 5 6 7 8 9 10
1,000,000 1,000,000 1,000,000 2000000 2000000 2000000
-530000 -530000 -530000 -830000 -830000 -830000
-288000 -88000 -88000 -220000 -220000 -220000

182000 382000 382000 950,000 950000 950000

-18200 -38200 -38200 -95000 -95000 -95000
163800 343800 343800 855000 855000 855000
288000 88000 88000 220000 220000 220000
451800 431800 431800 1075000 1075000 1075000
-1884000

840000
168000
903600 863600 -1020400 2150000 2150000 3158000
 PRACTICAL EXERCISE N° 0
A virtual database center is desired to search for information.
a private domain for which 200 dollars will be paid for the right to the name, and then d
maintenance of it, in addition access to international databases is required
Then for the usage, $100 is paid monthly. In total, there are 10 databases in agreement with the

This database center will provide services to clients, and for each accessed article, a fee will be charged.
On average, there will be 100 items searched per month, growing at a rate of 20% monthly.

The information center is managed by an administrator who is paid 800 soles per month.
sought. The center will operate in an office rented for which 100 soles are paid monthly.
It is necessary to invest 200 soles in advertising before the business starts operating and generates revenue.

It has been necessary to acquire a server for an amount of 4000 dollars and software.
they have an annual depreciation rate of 25% and the software is 3 years old.
Also, to finance the project, a loan of 5000 dollars is requested to be paid over 24 months.
rent 30%)
Elaborate the cash flow accordingly.
Considering a one-year evaluation period:

Prepare the income table

2. Prepare the expenses table
3. Prepare the depreciation table
4. Prepare the investment table
DATA

DESCRIPTION
Patent 200 ONE-TIME PAYMENT 560
Administration and maintenance 60 QUARTERLY 168

Right of agreement 200 X 10 BASE OF 5600

DATA
Use of the right to agreement 100 monthly x10 units 2800

Selling price per unit: 20 Soles/unit

First Start - 100 units growing 20% monthly 120%
PROJECTION OF PRODUCTION FOR YEAR 1
MES 1 2 3
 UNITS 100 120 144

Total x units of year 1 79161.00448 soles

SOLES DESCRIPTION
Administrator 800 monthly soles
Assistant (10%) 2.00 per search article
Office rental 300 (3 months of warranty)
100 soles monthly
Advertising 200 soles Before starting
Expense for supplies (5%) 1.00 per search item

Dollars SOLES
Server 4000 11200
Software 1500 4200

ANNUAL DEPRECIATION Monthly

Server (25%) 233.3333333
Software (3 years) 116.6666667

FINANCING
Loan 14000 Tax rate
Payment period 24 months
Interest rate 2%

INCOME TABLE 0 1 2
units sold 100 120
selling price 20 20
REVENUE FROM SALES 2000 2400

EXPENSE TABLE 0 1 2
Administration and maintenance
Use of the right of agreement 2800 2800
Administrator 800 800
Search assistant 200 240
Office rental 400 100
Supplies 100 120
EXPENSES 4300 4060
DEPRECIATION TABLE 0 1 2
Server (25%) 233.3 233.3
Software (3 years) 116.7 116.7
TOTAL DEPRECIATION 350 350

INVESTMENT TABLE 0 1 2
Patent 560
Right of agreement 5600
Advertisement 200
Server 11200
Software 4200
INVESTMENT 21760

0 1 2
ECONOMIC CASH FLOW
Income 2000 2400
Expenses -4300 -4060
Depreciations -350 -350
Earnings Before Taxes -2650 -2010
Income tax
Utility After Taxes -2650 -2010
Depreciations 350 350
Operational Cash Flow -2300 -1660
Fixed Investment -21760
Residual Value of Assets
Effective flow -21760 -2300 -1660
TIRE 1%
VANE 19,495.73 €

FINANCING

Loan 14000
interest rate 2% monthly
number of periods 24 months

quota S/740.20
 period fee interests amortization
0
1 S/740.20 280 460.20
2 S/740.20 270.79609276909 469.40
3 S/740.20 261.408107393562 478.79
4 S/740.20 488.36
5 S/740.20 498.13
6 S/740.20 508.09
7 S/740.20 518.25
8 S/740.20 528.62
9 S/740.20 539.19
10 S/740.20 549.98
11 S/740.20 560.98
12 $740.20 168.000272157437 572.20
13 S/740.20 583.64
14 S/740.20 595.31
15 S/740.20 607.22
16 S/740.20 619.36
17 S/740.20 631.75
18 S/740.20 644.38
19 S/740.20 82.9230632661341 657.27
20 S/740.20 670.42
21 S/740.20 683.83
22 S/740.20 697.50
23 S/740.20 28.7426880108018 711.45
24 S/740.20 725.68

PERIODS
months
CASH FLOW 0 1 2
Incomes 2000 2400
Expenditures -4300 -4060
Depreciations -350 -350
interest -280 -270.7960928
Profit Before Taxes -2930 -2280.796093
Income tax 0 0
Utility After Taxes -2930 -2280.796093
+ Depreciations 350 350
Operational Cash Flow -2300 -1660
loan 14000
amortization -460.20 -469.40
Fixed Investment -21760
Residual Value of Assets
Cash flow -7760 -5340.1953615455 -4060.195362
TIRF 8%
1486815%
02
at request. the implementation of this information center requires having
Every three months, 60 dollars must be paid for administration and
aspects for which a convention fee of 200 dollars is paid to each one and
that is affiliated.

It costs 20 soles. Projections have been made and it has been determined in a first start.

and a search assistant who is paid 10% of the price of each item
it comes with a 3-month warranty.

It will be spent on supplies 5% of the income from each item.

are licensed for 1500 dollars the MEF determines that the computer equipment

unusual at an interest rate of 2%. (Exchange rate S/.2.8; Tax rate on the

4 5 6 7 8 9 10
 172.8 207.36 248.832 298.5984 358.31808 429.9817 515.97804

ANNUAL
9600
7916.100448256
300
1200
200
3958.050224128

this to the rent 30%

3 4 5 6 7 8 9
144 172.8 207.36 248.832 298.5984 358.31808 429.9817
20 20 20 20 20 20 20
2880 3456 4147.2 4976.64 5971.968 7166.3616 8599.6339

3 4 5 6 7 8 9
168 168 168
2800 2800 2800 2800 2800 2800 2800
800 800 800 800 800 800 800
288 345.6 414.72 497.664 597.1968 716.63616 859.96339
100 100 100 100 100 100 100
144 172.8 207.36 248.832 298.5984 358.31808 429.9817
4300 4218.4 4322.08 4614.496 4595.7952 4774.9542 5157.9451
3 4 5 6 7 8 9
233.3 233.3 233.3 233.3 233.3 233.3 233.3
116.7 116.7 116.7 116.7 116.7 116.7 116.7
350 350 350 350 350 350 350

3 4 5 6 7 8 9

PERIODS (months)

3 4 5 6 7 8 9

2880 3456 4147.2 4976.64 5971.968 7166.3616 8599.63392

-4300 -4218.4 -4322.08 -4614.496 -4595.7952 -4774.95424 -5157.9451
-350 -350 -350 -350 -350 -350 -350
-1770 -1112.4 -524.88 12.144 1026.1728 2041.40736 3091.68883
-3.6432 -307.85184 -612.422208 -927.50665
-1770 -1112.4 -524.88 8.5008 718.32096 1428.98515 2164.18218
350 350 350 350 350 350 350
-1420 -762.4 -174.88 358.5008 1068.32096 1778.98515 2514.18218

-1420 -762.4 -174.88 358.5008 1068.32096 1778.98515 2514.18218

debt balance
14000
S/13,539.80
S/13,070.41
S/12,591.62
S/12,103.26
S/11,605.12
S/11,097.03
S/10,578.78
$10,050.16
S/9,510.97
S/8,960.99
$8,400.01
S/7,827.82
S/7,244.18
S/6,648.87
$6,041.65
$5,422.29
S/4,790.54
S/4,146.15
$3,488.88
S/2,818.46
S/2,134.64
S/1,437.13
S/725.68
S/0.00

3 4 5 6 7 8 9
2880 3456 4147.2 4976.64 5971.968 7166.3616 8599.63392
-4300 -4218.4 -4322.08 -4614.496 -4595.7952 -4774.95424 -5157.9451
-350 -350 -350 -350 -350 -350 -350
-261.408107393562 -251.83236231 -242.0651 -232.1025 -221.94063985 -211.575545 -201.00315
-2031.40810739356 -1364.2323623 -766.9451 -219.9585 804.232160147 1829.83181 2890.68568
0 0 0 0 -241.26964804 -548.949544 -867.2057
-2031.40810739356 -1364.2323623 -766.9451 -219.9585 562.962512103 1280.88227 2023.47998
350 350 350 350 350 350 350
-1420 -762.4 -174.88 358.5008 1068.32096 1778.98515 2514.18218

-478.79 -488.36 -498.13 -508.09 -518.25 -528.62 -539.19

-3580.1953615455 -2264.9953615 -1089.9554 -19.55056 1463.02875041 2881.24761 4348.46995

11 12 TOTAL
619.17364224 743.0084 3958.05022413 units/year

10 11 12
515.9780352 619.1736 743.00837069
20 20 20
10319.560704 12383.47 14860.167414

10 11 12
168
2800 2800 2800
800 800 800
1031.9560704 1238.347 1486.0167414
100 100 100
515.9780352 619.1736 743.00837069
5247.9341056 5557.521 6097.0251121
 10 11 12
233.3 233.3 233.3
116.7 116.7 116.7
350 350 350

10 11 12

10 11 12

10319.560704 12383.473 14860.1674138

-5247.9341056 -5557.5209 -6097.0251121
-350 -350 -350
4721.6265984 6475.9519 8413.1423017
-1416.4879795 -1942.7856 -2523.9426905
3305.13861888 4533.1663 5889.19961119
350 350 350
3655.13861888 4883.1663 6239.19961119

11200
3655.13861888 4883.1663 17439.1996112
 10 11 12
10319.560704 12383.473 14860.1674138
-5247.9341056 -5557.5209 -6097.0251121
-350 -350 -350
-190.21930485 -179.21978 -168.00027216
4531.40729355 6296.7321 8245.14202954
-1359.4221881 -1889.0196 -2473.5426089
3171.98510549 4407.7125 5771.59942068
350 350 350
3655.13861888 4883.1663 6239.19961119

-549.98 -560.98 -572.20

11200
6627.14766767 9079.9033 22988.6039425
 PRACTICAL EXERCISE No. 03

In the study of a new project, monthly sales of 100 units are estimated at a price of $10 each. Starting from the second year, it is planned...
allows for the duplication of production and sales. The technical study indicates that the unit manufacturing costs could be:

Labor $6 Materials $8 Indirect costs

The fixed manufacturing costs are estimated at $50 per month. The plant expansion will require the hiring of a supervisor with a remuneration.

The initial investment consists of:

Land $10,000 Obrasfsicas $14,000 Machinery

The cost of licensed software for the project is estimated at $12,000, which will be purchased at the beginning of the project.

The expansion will require doubling the investment in equipment and making physical works for $6000.

Assets depreciate in the following manner:

Obrasfsicas 2% per annum Machinery 10% annual

The nominal assets are amortized over 3 years. The tax rate is 10% on profits. The working capital is estimated at 60% of
Manufacturing materials. Annual administrative and sales expenses amount to $15,000.

The project requires that financing for 80% of the initial investment be requested. A financial institution offers the loan amount at u
pay it in 3 years.

a. Determine the project's income in 4 years.

b. Determine the expenses of the project
c. Develop the investment table for the project
d. Prepare the table for depreciation and amortization of assets.
e. What is the economic cash flow of the project.
f. Prepare the amortization table of the loan
g. Determine the financial cash flow of the project.
DATA

LEVEL OF production 100 units/month

selling price 10 dollars/unit

period 2: plant expansion

production level 200

unit manufacturing costs 18

labor 6
materials 8
indirect costs 4

fixed costs 50 dollars/month

supervision contract (for the expansion) 1000

initial inversion
lands 10,000 dollars
physical works 14000 dollars
machinery 6000 dollars

software cost 12000

expansion(year 2)
machinery 12000 dollars
physical works 6000 dollars

DEPRECIATION RATE
physical works 2% per year
machinery 10% per year
nominal assets 3

tax rate 10%

 working capital 60% (annual spending on labor)

administration and sales expenses 15000

financing
loan 80% of the investment
interest rate 2% monthly
period of 3 years

INCOME 0 1 2 3 4
units sold 1200 2400 2400 2400
selling price 10 10 10 10
sales revenue 12000 24000 24000 24000

EXPENSES 0 1 2 3 4
fixed costs 600 600 600 600
variable labor costs 7200 14400 14400 14400
variable material costs 9600 19200 19200 19200
indirect costs 4800 9600 9600 9600
administrative and sales expenses 15000 15000 15000 15000
supervisor contract 12000 12000 12000
expenses 37200 70800 70800 70800

DEPRECIATION 0 1 2 3 4
initial physical works 280 280 280 280
initial machinery 600 600 600 600
land 3333.33 3333.33 3333.33
physical expansion works 120 120 120
expansion machinery 1200 1200 1200
DEPRECIATION 4213.33 5533.33 5533.33 2200.00
INVESTMENT 0 1 2 3 4
initial physical works 14000
initial machinery 6000
land 10000
physical expansion works 6000
expansion machinery 12000
working capital 10080 10080
software 12000
investment 52080 28080

ECONOMIC CASH FLOW 0 1 2 3 4

sales revenue 12000 24000 24000 24000
expenses -37200 -70800 -70800 -70800
depreciation -4213.33 -5533.33 -5533.33 -2200.00
utility before taxes -29413.3333333 -52333.33 -52333.3333 -49000
Income tax (10%) 0 0 0 0
utility after taxes -29413.3333333 -52333.33 -52333.3333 -49000
depreciation 4213.33 5533.33 5533.33 2200.00
operational cash flow -25200 -46800 -46800 -46800
fixed investment -52080 -28080
residual value of the assets 12000
recovery of working capital 20160
cash flow -52080 -53280 -46800 -46800 -14640

FINANCING
 Loan 33600 annual nominal (effective) rate
interest rate 2.0% monthly 24.00% annual
number of periods 3 years
quota 16958.54

period quota interests amortization debt balance

0 33600
1 16958.54 8064.00 8894.54 24705.46
2 16958.54 5929.31 11029.22 13676.24
3 16958.54 3282.30 13676.24 0.00

FINANCIAL CASH FLOW 0 1 2 3 4

sales revenue 12000 24000 24000 24000
expenses -37200 -70800 -70800 -70800
depreciation -4213.33333333 -5533.333 -5533.33333 -2200
interest -8064.00 -5929.31 -3282.30
profit before taxes -37477.3333333 -58262.64 -55615.6307 -49000
Income tax (10%) 0 0 0 0
profit after taxes -37477.3333333 -58262.64 -55615.6307 -49000
depreciation 4213.333333333 5533.3333 5533.333333 2200
operating cash flow -25200 -46800 -46800 -46800
fixed investment -52080 -28080
loan 33600
amortization -8894.54 -11029.22 -13676.24
residual value of the assets 12000
recovery of working capital 20160
cash flow -18480 -95438.5362135 -110558.5 -110558.536 -61440
a expansion of the plant that

$4

generation of $1000 per month.

$6,000

the annual expenditure on labor and

a monthly interest rate of 2% for

units/month

dollars/unit
dollars/unit
dollars/unit

dollars/month

30% 70%

at the end of the 4 years rescue

8% 72%
40% 60%
years
the work and manufacturing materials

dollars/year
 PRACTICAL EXERCISE N° 04

To determine the economic and financial viability of a project, it was determined that the necessary investment consists of the following

Lands $ 4,000,000
Construction 12,000,000
Plant equipment 15,000,000
Office equipment 4,000,000
Working capital 6,000,000
Nominal assets 2,000,000

The nominal assets do not include the cost of the feasibility study, which was $600,000.

The plant equipment includes machinery that must be replaced at the end of the seventh year and has a value of
it will have a salvage value of $2,000,000.

In the tenth year, the date set for the evaluation period, the infrastructure could be worth $12,000,000, the equipment

The current regulations establish that the depreciation rates are as follows:

Construction 2.5% annually

Teams 10% annual

The nominal assets are amortized over five years.

To start the business, $30,000,000 is needed, so a loan will be requested from the bank "DonyBank" which offers it.
in 5 years.
Annual revenues are projected at $15,000,000 and costs, excluding depreciation, amortization, and taxes, at $6,000,000 per year.
the company's 15%, prepare the cash flow to evaluate the project.

DATA
INVESTMENT
Lands 4000000
Constructions 12000000
Plant equipment 15000000
Office equipment 4000000
Capital work 6000000
Nominal assets 2000000

COST OF FEASIBILITY STUDY 600000

PLANT EQUIPMENT (machinery)

replacement at the end of the year 7
initial value of machine 6000000
salvage value 2000000

EVALUATION PERIOD 10
X2
IN YEAR 10
value of physical infrastructure 12000000
plant equipment 6000000
office equipment 300000

DEPRECIATION RATES
construction 2.50%
teams 10%
nominal assets 5

FINANCING
 loan 30000000
interest rate 1.60%
payment period 5

PROJECTIONS:
income 15000000
costs (without depreciation, amortization, taxes) 6000000

TAX RATE 15%

INCOME 0 1 2 3
income 15000000 15000000 15000000

EXPENSES 0 1 2 3
costs 6000000 6000000 6000000

DEPRECIATION 0 1 2 3
construction 300000 300000 300000
plant equipment (0) 1,500,000 1500000 1,500,000
office equipment 400000 400000 400000
plant equipment (7)
nominal assets 400000 400000 400000
depreciation 2600000 2600000 2600000

INVESTMENT 0 1 2 3
lands 4000000
constructions 12000000
plant equipment 15000000
office equipment 4000000
Capital of work 6,000,000
Nominal assets 2000000
cost of travel expenses. 600000
total investment 43600000

ECONOMIC CASH FLOW 0 1 2 3

income 15000000 15000000 15000000
expenses -6000000 -6000000 -6000000
depreciation -2600000 -2600000 -2600000
Earnings Before Taxes 6400000 6400000 6400000
Income tax (15%) -960000 -960000 -960000
Profit After Taxes 5440000 5440000 5,440,000
depreciation 2600000 2600000 2600000
operating cash flow 8040000 8040000 8040000
investment -43,600,000
residual value of the assets
recovery of working capital
cash flow -43600000 8,040,000 8040000 8040000

FINANCING

Loan 30000000 nominal (effective) annual rate

interest rate 1.6% monthly 19.2%
number of periods 5 years

quota 9855345.9918304
period quota interests loan amortization
 0
1 9855345.9918304 5760000 4095345.99183038
2 9855345.9918304 4973693.56956857 4881652.42226182
3 9855345.9918304 4036416.3044943 5818929.68733609
4 9855345.9918304 2919181.80452577 6936164.18730462
5 9855345.9918304 1587438.28056328 8267907.7112671

FINANCIAL CASH FLOW 0 1 2 3

income 15000000 15000000 15000000
expenses -6000000 -6000000 -6000000
interest -5760000 -4973693.5695686 -4036416.3044943
depreciation -2600000 -2600000 -2600000
Profit Before Taxes 640000 1426306.43043143 2363583.6955057
Income tax (15%) -96000 -213945.96456472 -354537.554325855
Net Income 544000 1212360.46586672 2009046.14117985
depreciation 2,600,000 2600000 2600000
operational cash flow 8040000 8040000 8040000
loan 30000000
AMORTIZATION -4095345.99183 -4881652.4222618 -5818929.68733609
investment -43600000
residual value of the assets
recovery of working capital
financial flow -13600000.0 3944654.0 3158347.6 2221070.3
next items:

and $6,000,000. At the end of its useful life, it is estimated that

plant valued at $6,000,000 and office equipment valued at $300

receive at a monthly interest rate of 1.6% to pay it

sales. Considering a relevant tax rate for

dollars
dollars
dollars
dollars
dollars
dollars

at the end of its useful life

years

dollars
dollars
dollars

annual
annual
years
monthly
years

dollars/year
dollars/year

4 5 6 7 8 9 10
15000000 15000000 15000000 15000000 15000000 15000000 15000000

4 5 6 7 8 9 10
6000000 6000000 6000000 6000000 6000000 6000000 6000000

4 5 6 7 8 9 10
300000 300000 300000 300,000 300000 300000 300000
1500000 1500000 1500000 1500000 1500000 1500000 1,500,000
400000 400000 400000 400000 400000 400000 400000
600000 600000 600000
400000 400000
2600000 2600000 2200000 2200000 2,800,000 2800000 2800000

4 5 6 7 8 9 10
 6000000

6000000

4 5 6 7 8 9 10
15000000 15000000 15000000 15000000 15000000 15000000 15000000
-6000000 -6000000 -6000000 -6000000 -6000000 -6000000 -6000000
-2600000 -2600000 -2200000 -2200000 -2800000 -2800000 -2800000
6400000 6400000 6800000 6800000 6200000 6200000 6200000
-960000 -960000 -1020000 -1020000 -930000 -930000 -930000
5440000 5440000 5780000 5780000 5270000 5270000 5270000
2600000 2600000 2200000 2200000 2800000 2,800,000 2,800,000
8040000 8040000 7980000 7980000 8070000 8070000 8070000
-6000000
20300000
6000000
8040000 8040000 7980000 1,980,000 8070000 8070000 34370000

the
annual

debt balance
 30000000
25904654.0081696
21023001.5859078
15204071.8985717
8267907.71126709
-1.117587089539E-08

4 5 6 7 8 9 10
15000000 15000000 15000000 15000000 15000000 15000000 15000000
-6000000 -6000000 -6000000 -6000000 -6000000 -6000000 -6000000
-2919181.80452577 -1587438.28056
-2600000 -2600000 -2200000 -2200000 -2800000 -2800000 -2800000
3480818.19547423 4812561.719437 6800000 6800000 6200000 6200000 6200000
-522122.729321135 -721884.257916 -1020000 -1,020,000 -930000 -930000 -930000
2958695.4661531 4090677.461521 5780000 5780000 5270000 5270000 5270000
2600000 2600000 2200000 2200000 2800000 2800000 2800000
8040000 8040000 7980000 7980000 8070000 8070000 8070000

-6936164.18730462 -8267907.71127
-6000000
20300000
6000000
1103835.8 -227907.7 7980000.0 1980000.0 8070000.0 8070000.0 34370000.0