APA format writing explain in details and good examples
APA citations with author last name, year, page (p.
pp.) number or para number
6 – 12 slides with 150 – 200 words speaker notes (not
counting title page or references page) must have 3 or more references
Apix is considering coffee packaging as an additional
diversification to its product line. Here’s information regarding the coffee
investment outlay of $40 million, consisting of $35 million for equipment
and $5 million for net working capital (NWC) (plastic substrate and ink
inventory); NWC recoverable in terminal year
and equipment life: 5 years
$27 million per year for five years
gross margin of 50% (exclusive of depreciation)
Straight-line for tax purposes
general, and administrative expenses: 10% of sales
Assume a WACC of 10%.
Should the coffee packaging project be accepted? Why
or why not? Compute the project’s IRR and NPV.
In addition, answer the following questions:
you believe that there was sufficient financial information to make a
solid decision on what to do?
there further financial information that you required that was not
provided to you?
financial figure do you believe was the determinant to your decision and
would you be able to apply this particular financial information to other
risk methodologies used in capital budgeting.
Please submit your assignment