Project Report: Financial Literacy, Company Perspective, and Valuation
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AI Summary
This project report is a comprehensive financial analysis, encompassing financial literacy, company perspectives, and capital budgeting techniques. Part 2 examines financial literacy by comparing two cases involving home loans, calculating monthly repayments and total interest, and analyzing the factors influencing interest expenses. Part 3 focuses on Woodside Petroleum Limited, providing background information, calculating the cash conversion cycle, and assessing short-term and long-term debt financing. The report also includes bond and share valuations, along with an interest coverage ratio analysis. Task 4 involves capital budgeting, calculating free cash flows for two projects, determining discounted payback periods, and evaluating net present value and internal rate of return. The report concludes with a recommendation on which project to invest in, supported by detailed calculations and references.
RUNNING HEAD: Corporate finance 1
Project Report: Finance
Project Report: Finance
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Corporate finance 2
Contents
Part 2.................................................................................................................................4
Financial Literacy:............................................................................................................4
Que 1:................................................................................................................................4
1.1 Calculation of monthly repayments:...........................................................................4
1.2 Calculation of Total interest cover:............................................................................5
Que 2:............................................................................................................................5
Why the differences has occurred in the interest expenses:..........................................5
Part 3.................................................................................................................................6
Company Perspective.......................................................................................................6
Que 1:............................................................................................................................6
Background:..................................................................................................................6
Que 2:............................................................................................................................6
Cash conversion cycle:..................................................................................................6
Que 3:............................................................................................................................7
Short term and long term debt financing:.....................................................................7
Que 4:............................................................................................................................8
Bond valuation:.............................................................................................................8
Interest coverage ratio:..................................................................................................8
Que 5:............................................................................................................................9
Share valuation:.............................................................................................................9
Task 4:............................................................................................................................10
Capital Budgeting:..........................................................................................................10
Contents
Part 2.................................................................................................................................4
Financial Literacy:............................................................................................................4
Que 1:................................................................................................................................4
1.1 Calculation of monthly repayments:...........................................................................4
1.2 Calculation of Total interest cover:............................................................................5
Que 2:............................................................................................................................5
Why the differences has occurred in the interest expenses:..........................................5
Part 3.................................................................................................................................6
Company Perspective.......................................................................................................6
Que 1:............................................................................................................................6
Background:..................................................................................................................6
Que 2:............................................................................................................................6
Cash conversion cycle:..................................................................................................6
Que 3:............................................................................................................................7
Short term and long term debt financing:.....................................................................7
Que 4:............................................................................................................................8
Bond valuation:.............................................................................................................8
Interest coverage ratio:..................................................................................................8
Que 5:............................................................................................................................9
Share valuation:.............................................................................................................9
Task 4:............................................................................................................................10
Capital Budgeting:..........................................................................................................10
Corporate finance 3
Que 1:..........................................................................................................................10
Calculation of free cash flows of both the projects.....................................................10
Que 2:..........................................................................................................................11
Discounted Payback period:........................................................................................11
Que 3:..........................................................................................................................11
Net present value and internal rate of return...............................................................11
Que 3:..........................................................................................................................12
Recommendation:.......................................................................................................12
References.......................................................................................................................13
Appendix.........................................................................................................................14
Que 1:..........................................................................................................................10
Calculation of free cash flows of both the projects.....................................................10
Que 2:..........................................................................................................................11
Discounted Payback period:........................................................................................11
Que 3:..........................................................................................................................11
Net present value and internal rate of return...............................................................11
Que 3:..........................................................................................................................12
Recommendation:.......................................................................................................12
References.......................................................................................................................13
Appendix.........................................................................................................................14
Corporate finance 4
Part 2
Financial Literacy:
Que 1:
The given express about the two cases which are quite similar but the outcome of both
the cases are different. Following is the calculations of both the cases:
1.1 Calculation of monthly repayments:
Question 2
Jane
Interest rate per annum 6.50%
Interest rate monthly 0.54%
Loan amount $6,35,000
Tenure (years) 20
Months 240
Monthly rate 0.54%
EMI amount $ 4,734.39
Question 2
Carla
Interest rate per annum 4.50%
Interest rate monthly 0.38%
Loan amount $5,50,000
Tenure (years) 15
Months 180
Monthly rate 0.38%
EMI amount $ 4,207.46
The above calculations express that Jane’s EMI amount is $ 4734.39 and the Carla’s
EMI amount is $4,207.46. It expresses that EMI amount of is quite lesser amount than EMI
amount of Jane.
Part 2
Financial Literacy:
Que 1:
The given express about the two cases which are quite similar but the outcome of both
the cases are different. Following is the calculations of both the cases:
1.1 Calculation of monthly repayments:
Question 2
Jane
Interest rate per annum 6.50%
Interest rate monthly 0.54%
Loan amount $6,35,000
Tenure (years) 20
Months 240
Monthly rate 0.54%
EMI amount $ 4,734.39
Question 2
Carla
Interest rate per annum 4.50%
Interest rate monthly 0.38%
Loan amount $5,50,000
Tenure (years) 15
Months 180
Monthly rate 0.38%
EMI amount $ 4,207.46
The above calculations express that Jane’s EMI amount is $ 4734.39 and the Carla’s
EMI amount is $4,207.46. It expresses that EMI amount of is quite lesser amount than EMI
amount of Jane.
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Corporate finance 5
1.2 Calculation of Total interest cover:
Total interest cover of both the people, Jane and Carla is $5,01,253 and $2,07,343
respectively. This explain that interest amount of Carla is quite lesser. The main reason
behind this difference is down payment, rate of interest and total time (Moles, Parrino and
Kidwekk, 2011).
Que 2:
Why the differences has occurred in the interest expenses:
The case briefs that Jane and Carla are two individual who wants to buy a home. Both
the individuals have purchased the house of same amount but huge difference is there among
total interest rate and amount of individuals. The case explains that the chief aspects which
have impacted on the performance of the company and position of the company are down
payment. Further, lesser time periods have been opt by Carla for the loan than Jane and at the
same time, the interest % is also different in both the cases and because of it the interest
amount is different.
Finance theory also explains that the more the time period, more would be the risk
and thus the management thinks to higher the interest rate so that the risk and return of the
project could be balanced.
1.2 Calculation of Total interest cover:
Total interest cover of both the people, Jane and Carla is $5,01,253 and $2,07,343
respectively. This explain that interest amount of Carla is quite lesser. The main reason
behind this difference is down payment, rate of interest and total time (Moles, Parrino and
Kidwekk, 2011).
Que 2:
Why the differences has occurred in the interest expenses:
The case briefs that Jane and Carla are two individual who wants to buy a home. Both
the individuals have purchased the house of same amount but huge difference is there among
total interest rate and amount of individuals. The case explains that the chief aspects which
have impacted on the performance of the company and position of the company are down
payment. Further, lesser time periods have been opt by Carla for the loan than Jane and at the
same time, the interest % is also different in both the cases and because of it the interest
amount is different.
Finance theory also explains that the more the time period, more would be the risk
and thus the management thinks to higher the interest rate so that the risk and return of the
project could be balanced.
Corporate finance 6
Part 3:
Company Perspective:
Que 1:
Background:
Woodside Petroleum Limited is an oil and gas exploration organization. The main
business is operated by this company in Australian market. Now days, the company has
became the largest oil and gas production and oil and gas exploration company. Main office
of the business is situated at Perth in Australia. The stock of the business has been registered
in ASX (Australian stock exchange). Mainly, the company has diversified its market into
various new countries and the location to grab the mining, projects and enhance the market
share of the company. Currently, the biggest project of mining industry is held by Woodside
limited. The current report of oil and gas exploration industry of Australia brief that the
Woodside Limited held 13.5% share of oil and gas industry which is highest share in the
Australian market. The company has made few changes into its operations and the strategies
to manage the position and performance of the business in marketplace.
The main strength of the company is its highest share in the Australian market (gas
and exploration industry). The largest and biggest projects are held by this company and it
would help the company to enhance the market share as well as total revenue of the company.
Further, the weakness of the company is its bad corporate social responsibility, this company
is continuously harming the natural resources of the Australia and further, this company has
failed to manage a good relationship with its stakeholders (Nobes and Parker, 2008).
Company is supposed to look over these threats and make few changes to save itself from
sudden risk and consequences. If the company would not look over these threats now than the
market share of the company could be grabbed by its competitors.
Que 2:
Cash conversion cycle:
Cash conversion cycle calculations of the company are as follows:
Calculation of cash conversion cycle of 2016
Part 3:
Company Perspective:
Que 1:
Background:
Woodside Petroleum Limited is an oil and gas exploration organization. The main
business is operated by this company in Australian market. Now days, the company has
became the largest oil and gas production and oil and gas exploration company. Main office
of the business is situated at Perth in Australia. The stock of the business has been registered
in ASX (Australian stock exchange). Mainly, the company has diversified its market into
various new countries and the location to grab the mining, projects and enhance the market
share of the company. Currently, the biggest project of mining industry is held by Woodside
limited. The current report of oil and gas exploration industry of Australia brief that the
Woodside Limited held 13.5% share of oil and gas industry which is highest share in the
Australian market. The company has made few changes into its operations and the strategies
to manage the position and performance of the business in marketplace.
The main strength of the company is its highest share in the Australian market (gas
and exploration industry). The largest and biggest projects are held by this company and it
would help the company to enhance the market share as well as total revenue of the company.
Further, the weakness of the company is its bad corporate social responsibility, this company
is continuously harming the natural resources of the Australia and further, this company has
failed to manage a good relationship with its stakeholders (Nobes and Parker, 2008).
Company is supposed to look over these threats and make few changes to save itself from
sudden risk and consequences. If the company would not look over these threats now than the
market share of the company could be grabbed by its competitors.
Que 2:
Cash conversion cycle:
Cash conversion cycle calculations of the company are as follows:
Calculation of cash conversion cycle of 2016
Corporate finance 7
Sales
£
4,075
COGS
£
2,234
Inventor
ies
£
5
AR
£
172
AP
£
546
Days/
year 365
Cash conversion
cycle (CCC) =
Inventory
conversion period +
Receivables
collection
period
-
Payables
deferral period
=
Inventory/Sales per
day +
AR/Sales per
day -
AP/COGS per
day
= £ 0.45 +
£
15.41 -
£
48.91
= -£ 33.05
The above measurement about the cash conversion cycle (CCC) is -33.05 days in and
-50.87 days in 2016 and 2015 respectively. That explains about the working capital and the
liquidity position of the company. According to the CCC calculations, BHP Billiton’s cash
conversion cycle is way better than any other company in the industry (Davies and Crawford,
2011). It explains about no working capital requirement of the company (Bromwich and
Bhimani, 2005). Though, the working capital of Woodside is also good but few negative
points have occurred in 2016.
Que 3:
Short term and long term debt financing:
The short term and long term debt financing is used by the companies to maintain the
funds and the capital structure of the company. Mainly, Woodside uses the payables and
interest bearing liabilities for short term and long term, funds respective. The figures of
payables and interest bearing liabilities expresses that few changes have been done by the
Sales
£
4,075
COGS
£
2,234
Inventor
ies
£
5
AR
£
172
AP
£
546
Days/
year 365
Cash conversion
cycle (CCC) =
Inventory
conversion period +
Receivables
collection
period
-
Payables
deferral period
=
Inventory/Sales per
day +
AR/Sales per
day -
AP/COGS per
day
= £ 0.45 +
£
15.41 -
£
48.91
= -£ 33.05
The above measurement about the cash conversion cycle (CCC) is -33.05 days in and
-50.87 days in 2016 and 2015 respectively. That explains about the working capital and the
liquidity position of the company. According to the CCC calculations, BHP Billiton’s cash
conversion cycle is way better than any other company in the industry (Davies and Crawford,
2011). It explains about no working capital requirement of the company (Bromwich and
Bhimani, 2005). Though, the working capital of Woodside is also good but few negative
points have occurred in 2016.
Que 3:
Short term and long term debt financing:
The short term and long term debt financing is used by the companies to maintain the
funds and the capital structure of the company. Mainly, Woodside uses the payables and
interest bearing liabilities for short term and long term, funds respective. The figures of
payables and interest bearing liabilities expresses that few changes have been done by the
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Corporate finance 8
management of the company in its short term and long term liabilities but still the company
uses the debt most to manage the funds and the performance of the company (Damodaran,
2011).
Que 4:
Bond valuation:
The below calculations of bonds expresses that the value of the bond is $ 913.61
which is quite lesser than the market value of the company:
Price of bond
Bond-1
Face value 1,000
Coupon (half yearly) 1.83%
Maturity 10
Maturity (half yearly) 5
Yield (half yearly) 1.55%
Valuation of bond 913.61
PV(D17,D19,D20,D16,0)
(Arnold, 2013)
Interest coverage ratio:
Interest coverage ratio (ICR) is basically used by the organizations to measure the
company’s position to reimburse the interest expenses. ICR is measured through dividing the
EBIT (earnings before interest and taxes) by company’s total interest expenses. The current
ICR (interest coverage ratio) of the business is 23.92 that expresses about the better position
and the performance of business to reimburse interest expenses. The interest coverage ratio of
the company is as follows:
Calculation of Interest coverage ratio
Interest coverage ratio EBIT/Interest Expenses
2016 23.92857143
2015 4
(Besley and Brigham, 2008)
management of the company in its short term and long term liabilities but still the company
uses the debt most to manage the funds and the performance of the company (Damodaran,
2011).
Que 4:
Bond valuation:
The below calculations of bonds expresses that the value of the bond is $ 913.61
which is quite lesser than the market value of the company:
Price of bond
Bond-1
Face value 1,000
Coupon (half yearly) 1.83%
Maturity 10
Maturity (half yearly) 5
Yield (half yearly) 1.55%
Valuation of bond 913.61
PV(D17,D19,D20,D16,0)
(Arnold, 2013)
Interest coverage ratio:
Interest coverage ratio (ICR) is basically used by the organizations to measure the
company’s position to reimburse the interest expenses. ICR is measured through dividing the
EBIT (earnings before interest and taxes) by company’s total interest expenses. The current
ICR (interest coverage ratio) of the business is 23.92 that expresses about the better position
and the performance of business to reimburse interest expenses. The interest coverage ratio of
the company is as follows:
Calculation of Interest coverage ratio
Interest coverage ratio EBIT/Interest Expenses
2016 23.92857143
2015 4
(Besley and Brigham, 2008)
Corporate finance 9
Que 5:
Share valuation:
Valuation of the shares of the company is as follows:
Required rate of return
Risk free rate 2.50%
Expected rate of return on market
portfolio 9.07%
systematic risk of common stock 1.37
Required rate of return 11.50%
calculations:
r= R(f)+ beta{E(R(m)-R(f)}
Dividend Discount Model
Dividend expected 83
Growth rate 3%
Discount rate 11.50%
Intrinsic Value 922
Share Price 34.53
Underv
alued
(Bierman, 2010)
Through the calculations, intrinsic value of the shares $ 922 and the market price is
$34.53. So, it is best time for the investors to buy the shares of the company.
Que 5:
Share valuation:
Valuation of the shares of the company is as follows:
Required rate of return
Risk free rate 2.50%
Expected rate of return on market
portfolio 9.07%
systematic risk of common stock 1.37
Required rate of return 11.50%
calculations:
r= R(f)+ beta{E(R(m)-R(f)}
Dividend Discount Model
Dividend expected 83
Growth rate 3%
Discount rate 11.50%
Intrinsic Value 922
Share Price 34.53
Underv
alued
(Bierman, 2010)
Through the calculations, intrinsic value of the shares $ 922 and the market price is
$34.53. So, it is best time for the investors to buy the shares of the company.
Corporate finance 10
Task 4:
Capital Budgeting:
Que 1:
Calculation of free cash flows of both the projects:
Project A
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
1575000
00
Revenues
9836800
00
9836800
00
9836800
00
9836800
00
9836800
00
Expenses
4918400
00
4918400
00
4918400
00
4918400
00
4918400
00
Expenses
1670000
00
1670000
00
1670000
00
1670000
00
1670000
00
EBDT
3248400
00
3248400
00
3248400
00
3248400
00
3248400
00
Less: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
EBT
1248400
00
1248400
00
1248400
00
1248400
00
1248400
00
Less: Taxes
3745200
0
3745200
0
3745200
0
3745200
0
3745200
0
EAT
8738800
0
8738800
0
8738800
0
8738800
0
8738800
0
ADD: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
1436940
000
2873880
00
2873880
00
2873880
00
2873880
00
2873880
00
Changes in Working
capital 400000 400000
Total cash flow
1279040
000
2877880
00
Project B
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
1375000
00
Revenues
1168120
000
1168120
000
1168120
000
1168120
000
1168120
000
Expenses
5256540
00
5256540
00
5256540
00
5256540
00
5256540
00
Task 4:
Capital Budgeting:
Que 1:
Calculation of free cash flows of both the projects:
Project A
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
1575000
00
Revenues
9836800
00
9836800
00
9836800
00
9836800
00
9836800
00
Expenses
4918400
00
4918400
00
4918400
00
4918400
00
4918400
00
Expenses
1670000
00
1670000
00
1670000
00
1670000
00
1670000
00
EBDT
3248400
00
3248400
00
3248400
00
3248400
00
3248400
00
Less: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
EBT
1248400
00
1248400
00
1248400
00
1248400
00
1248400
00
Less: Taxes
3745200
0
3745200
0
3745200
0
3745200
0
3745200
0
EAT
8738800
0
8738800
0
8738800
0
8738800
0
8738800
0
ADD: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
1436940
000
2873880
00
2873880
00
2873880
00
2873880
00
2873880
00
Changes in Working
capital 400000 400000
Total cash flow
1279040
000
2877880
00
Project B
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
1375000
00
Revenues
1168120
000
1168120
000
1168120
000
1168120
000
1168120
000
Expenses
5256540
00
5256540
00
5256540
00
5256540
00
5256540
00
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Corporate finance 11
Expenses
1252500
00
1252500
00
1252500
00
1252500
00
1252500
00
EBDT
5172160
00
5172160
00
5172160
00
5172160
00
5172160
00
Less: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
EBT
3172160
00
3172160
00
3172160
00
3172160
00
3172160
00
Less: Taxes
9516480
0
9516480
0
9516480
0
9516480
0
9516480
0
EAT
2220512
00
2220512
00
2220512
00
2220512
00
2220512
00
ADD: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
2110256
000
4220512
00
4220512
00
4220512
00
4220512
00
4220512
00
Changes in Working
capital 400000 400000
Total cash flow
1972356
000
4224512
00
(Arnold, 2013)
Above measurements explains that the project B is far better than project A due
to high cash inflow.
Que 2:
Discounted Payback period:
The calculations of discounted payback period show that the project B is far better
than project A. As the payback period of project B is quite lesser than the project A
(Appendix).
Que 3:
Net present value and internal rate of return:
Further, the calculations have been done over NPV and IRR as well and through
the calculations on both the methods and 12% and 25% case, it has been found that project B
should be accepted by the company as it would offer high returns to the company in context
with the project A (Appendix).
Expenses
1252500
00
1252500
00
1252500
00
1252500
00
1252500
00
EBDT
5172160
00
5172160
00
5172160
00
5172160
00
5172160
00
Less: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
EBT
3172160
00
3172160
00
3172160
00
3172160
00
3172160
00
Less: Taxes
9516480
0
9516480
0
9516480
0
9516480
0
9516480
0
EAT
2220512
00
2220512
00
2220512
00
2220512
00
2220512
00
ADD: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
2110256
000
4220512
00
4220512
00
4220512
00
4220512
00
4220512
00
Changes in Working
capital 400000 400000
Total cash flow
1972356
000
4224512
00
(Arnold, 2013)
Above measurements explains that the project B is far better than project A due
to high cash inflow.
Que 2:
Discounted Payback period:
The calculations of discounted payback period show that the project B is far better
than project A. As the payback period of project B is quite lesser than the project A
(Appendix).
Que 3:
Net present value and internal rate of return:
Further, the calculations have been done over NPV and IRR as well and through
the calculations on both the methods and 12% and 25% case, it has been found that project B
should be accepted by the company as it would offer high returns to the company in context
with the project A (Appendix).
Corporate finance 12
Que 3:
Recommendation:
Thus, through the above evaluation, it has been suggested to the investors to
invest into project B. if the WACC of the company is 12% than both the projects would offer
huge loss to the company as IRR of both the companies are quite lesser than the WACC f the
company. Though, the NPV and payback period of project B is better than project A.
Que 3:
Recommendation:
Thus, through the above evaluation, it has been suggested to the investors to
invest into project B. if the WACC of the company is 12% than both the projects would offer
huge loss to the company as IRR of both the companies are quite lesser than the WACC f the
company. Though, the NPV and payback period of project B is better than project A.
Corporate finance 13
References:
Arnold, G., 2013. Corporate financial management. Pearson Higher Ed.
Besley, S. and Brigham, E.F., 2008. Essentials of managerial finance. Thomson South-
Western.
Bierman, H., 2010. An introduction to accounting and managerial finance: a merger of
equals. World Scientific.
Bromwich, M. and Bhimani, A., 2005. Management accounting: Pathways to progress. Cima
publishing.
Damodaran, A, 2011, Applied corporate finance,3rd edition, John Wiley & sons, USA
Davies, T. and Crawford, I., 2011. Business accounting and finance. Pearson.
Moles, P. Parrino, R and Kidwekk, D,.2011. Corporate finance, European edition, John
Wiley &sons, United Kingdom
Nobes, C. and Parker, R.H., 2008. Comparative international accounting. Pearson Education.
References:
Arnold, G., 2013. Corporate financial management. Pearson Higher Ed.
Besley, S. and Brigham, E.F., 2008. Essentials of managerial finance. Thomson South-
Western.
Bierman, H., 2010. An introduction to accounting and managerial finance: a merger of
equals. World Scientific.
Bromwich, M. and Bhimani, A., 2005. Management accounting: Pathways to progress. Cima
publishing.
Damodaran, A, 2011, Applied corporate finance,3rd edition, John Wiley & sons, USA
Davies, T. and Crawford, I., 2011. Business accounting and finance. Pearson.
Moles, P. Parrino, R and Kidwekk, D,.2011. Corporate finance, European edition, John
Wiley &sons, United Kingdom
Nobes, C. and Parker, R.H., 2008. Comparative international accounting. Pearson Education.
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Corporate finance 14
Appendix:
Quetsion 2
Jane
Interest rate per annum 6.50%
Interest rate monthly 0.54%
A Loan amount $6,35,000
B Tenure (years) 20
C Months 240
D Monthly rate 0.54%
D EMI amount
₹
4,734.39
$
Period PVF Opening outstanding Installment Interest Closing
1 0.9946125 6,35,000.00 4,734 3,439.58 6,33,705.19
2 0.9892541 6,33,705.19 4,734 3,432.57 6,32,403.37
3 0.9839245 6,32,403.37 4,734 3,425.52 6,31,094.50
4 0.9786236 6,31,094.50 4,734 3,418.43 6,29,778.54
5 0.9733513 6,29,778.54 4,734 3,411.30 6,28,455.45
6 0.9681074 6,28,455.45 4,734 3,404.13 6,27,125.20
7 0.9628917 6,27,125.20 4,734 3,396.93 6,25,787.74
8 0.9577041 6,25,787.74 4,734 3,389.68 6,24,443.03
9 0.9525445 6,24,443.03 4,734 3,382.40 6,23,091.04
10 0.9474127 6,23,091.04 4,734 3,375.08 6,21,731.73
11 0.9423085 6,21,731.73 4,734 3,367.71 6,20,365.05
12 0.9372318 6,20,365.05 4,734 3,360.31 6,18,990.97
13 0.9321825 6,18,990.97 4,734 3,352.87 6,17,609.45
14 0.9271604 6,17,609.45 4,734 3,345.38 6,16,220.45
15 0.9221653 6,16,220.45 4,734 3,337.86 6,14,823.92
16 0.9171972 6,14,823.92 4,734 3,330.30 6,13,419.82
17 0.9122558 6,13,419.82 4,734 3,322.69 6,12,008.13
18 0.907341 6,12,008.13 4,734 3,315.04 6,10,588.78
19 0.9024528 6,10,588.78 4,734 3,307.36 6,09,161.75
20 0.8975908 6,09,161.75 4,734 3,299.63 6,07,726.98
21 0.8927551 6,07,726.98 4,734 3,291.85 6,06,284.45
22 0.8879453 6,06,284.45 4,734 3,284.04 6,04,834.10
23 0.8831616 6,04,834.10 4,734 3,276.18 6,03,375.90
24 0.8784035 6,03,375.90 4,734 3,268.29 6,01,909.79
25 0.8736712 6,01,909.79 4,734 3,260.34 6,00,435.75
26 0.8689643 6,00,435.75 4,734 3,252.36 5,98,953.72
27 0.8642827 5,98,953.72 4,734 3,244.33 5,97,463.66
Appendix:
Quetsion 2
Jane
Interest rate per annum 6.50%
Interest rate monthly 0.54%
A Loan amount $6,35,000
B Tenure (years) 20
C Months 240
D Monthly rate 0.54%
D EMI amount
₹
4,734.39
$
Period PVF Opening outstanding Installment Interest Closing
1 0.9946125 6,35,000.00 4,734 3,439.58 6,33,705.19
2 0.9892541 6,33,705.19 4,734 3,432.57 6,32,403.37
3 0.9839245 6,32,403.37 4,734 3,425.52 6,31,094.50
4 0.9786236 6,31,094.50 4,734 3,418.43 6,29,778.54
5 0.9733513 6,29,778.54 4,734 3,411.30 6,28,455.45
6 0.9681074 6,28,455.45 4,734 3,404.13 6,27,125.20
7 0.9628917 6,27,125.20 4,734 3,396.93 6,25,787.74
8 0.9577041 6,25,787.74 4,734 3,389.68 6,24,443.03
9 0.9525445 6,24,443.03 4,734 3,382.40 6,23,091.04
10 0.9474127 6,23,091.04 4,734 3,375.08 6,21,731.73
11 0.9423085 6,21,731.73 4,734 3,367.71 6,20,365.05
12 0.9372318 6,20,365.05 4,734 3,360.31 6,18,990.97
13 0.9321825 6,18,990.97 4,734 3,352.87 6,17,609.45
14 0.9271604 6,17,609.45 4,734 3,345.38 6,16,220.45
15 0.9221653 6,16,220.45 4,734 3,337.86 6,14,823.92
16 0.9171972 6,14,823.92 4,734 3,330.30 6,13,419.82
17 0.9122558 6,13,419.82 4,734 3,322.69 6,12,008.13
18 0.907341 6,12,008.13 4,734 3,315.04 6,10,588.78
19 0.9024528 6,10,588.78 4,734 3,307.36 6,09,161.75
20 0.8975908 6,09,161.75 4,734 3,299.63 6,07,726.98
21 0.8927551 6,07,726.98 4,734 3,291.85 6,06,284.45
22 0.8879453 6,06,284.45 4,734 3,284.04 6,04,834.10
23 0.8831616 6,04,834.10 4,734 3,276.18 6,03,375.90
24 0.8784035 6,03,375.90 4,734 3,268.29 6,01,909.79
25 0.8736712 6,01,909.79 4,734 3,260.34 6,00,435.75
26 0.8689643 6,00,435.75 4,734 3,252.36 5,98,953.72
27 0.8642827 5,98,953.72 4,734 3,244.33 5,97,463.66
Corporate finance 15
28 0.8596264 5,97,463.66 4,734 3,236.26 5,95,965.53
29 0.8549952 5,95,965.53 4,734 3,228.15 5,94,459.29
30 0.8503889 5,94,459.29 4,734 3,219.99 5,92,944.89
31 0.8458075 5,92,944.89 4,734 3,211.78 5,91,422.29
32 0.8412507 5,91,422.29 4,734 3,203.54 5,89,891.43
33 0.8367185 5,89,891.43 4,734 3,195.25 5,88,352.29
34 0.8322107 5,88,352.29 4,734 3,186.91 5,86,804.81
35 0.8277271 5,86,804.81 4,734 3,178.53 5,85,248.94
36 0.8232678 5,85,248.94 4,734 3,170.10 5,83,684.65
37 0.8188324 5,83,684.65 4,734 3,161.63 5,82,111.89
38 0.814421 5,82,111.89 4,734 3,153.11 5,80,530.61
39 0.8100333 5,80,530.61 4,734 3,144.54 5,78,940.76
40 0.8056693 5,78,940.76 4,734 3,135.93 5,77,342.30
41 0.8013287 5,77,342.30 4,734 3,127.27 5,75,735.18
42 0.7970116 5,75,735.18 4,734 3,118.57 5,74,119.35
43 0.7927177 5,74,119.35 4,734 3,109.81 5,72,494.78
44 0.7884469 5,72,494.78 4,734 3,101.01 5,70,861.40
45 0.7841992 5,70,861.40 4,734 3,092.17 5,69,219.18
46 0.7799743 5,69,219.18 4,734 3,083.27 5,67,568.06
47 0.7757722 5,67,568.06 4,734 3,074.33 5,65,908.00
48 0.7715928 5,65,908.00 4,734 3,065.33 5,64,238.94
49 0.7674358 5,64,238.94 4,734 3,056.29 5,62,560.85
50 0.7633013 5,62,560.85 4,734 3,047.20 5,60,873.66
51 0.759189 5,60,873.66 4,734 3,038.07 5,59,177.34
52 0.7550989 5,59,177.34 4,734 3,028.88 5,57,471.83
53 0.7510308 5,57,471.83 4,734 3,019.64 5,55,757.08
54 0.7469846 5,55,757.08 4,734 3,010.35 5,54,033.04
55 0.7429603 5,54,033.04 4,734 3,001.01 5,52,299.66
56 0.7389576 5,52,299.66 4,734 2,991.62 5,50,556.89
57 0.7349765 5,50,556.89 4,734 2,982.18 5,48,804.69
58 0.7310168 5,48,804.69 4,734 2,972.69 5,47,042.99
59 0.7270784 5,47,042.99 4,734 2,963.15 5,45,271.75
60 0.7231613 5,45,271.75 4,734 2,953.56 5,43,490.92
61 0.7192653 5,43,490.92 4,734 2,943.91 5,41,700.44
62 0.7153903 5,41,700.44 4,734 2,934.21 5,39,900.26
63 0.7115361 5,39,900.26 4,734 2,924.46 5,38,090.33
64 0.7077027 5,38,090.33 4,734 2,914.66 5,36,270.60
65 0.70389 5,36,270.60 4,734 2,904.80 5,34,441.00
66 0.7000978 5,34,441.00 4,734 2,894.89 5,32,601.50
67 0.696326 5,32,601.50 4,734 2,884.92 5,30,752.04
68 0.6925746 5,30,752.04 4,734 2,874.91 5,28,892.56
69 0.6888433 5,28,892.56 4,734 2,864.83 5,27,023.00
70 0.6851322 5,27,023.00 4,734 2,854.71 5,25,143.32
71 0.6814411 5,25,143.32 4,734 2,844.53 5,23,253.46
28 0.8596264 5,97,463.66 4,734 3,236.26 5,95,965.53
29 0.8549952 5,95,965.53 4,734 3,228.15 5,94,459.29
30 0.8503889 5,94,459.29 4,734 3,219.99 5,92,944.89
31 0.8458075 5,92,944.89 4,734 3,211.78 5,91,422.29
32 0.8412507 5,91,422.29 4,734 3,203.54 5,89,891.43
33 0.8367185 5,89,891.43 4,734 3,195.25 5,88,352.29
34 0.8322107 5,88,352.29 4,734 3,186.91 5,86,804.81
35 0.8277271 5,86,804.81 4,734 3,178.53 5,85,248.94
36 0.8232678 5,85,248.94 4,734 3,170.10 5,83,684.65
37 0.8188324 5,83,684.65 4,734 3,161.63 5,82,111.89
38 0.814421 5,82,111.89 4,734 3,153.11 5,80,530.61
39 0.8100333 5,80,530.61 4,734 3,144.54 5,78,940.76
40 0.8056693 5,78,940.76 4,734 3,135.93 5,77,342.30
41 0.8013287 5,77,342.30 4,734 3,127.27 5,75,735.18
42 0.7970116 5,75,735.18 4,734 3,118.57 5,74,119.35
43 0.7927177 5,74,119.35 4,734 3,109.81 5,72,494.78
44 0.7884469 5,72,494.78 4,734 3,101.01 5,70,861.40
45 0.7841992 5,70,861.40 4,734 3,092.17 5,69,219.18
46 0.7799743 5,69,219.18 4,734 3,083.27 5,67,568.06
47 0.7757722 5,67,568.06 4,734 3,074.33 5,65,908.00
48 0.7715928 5,65,908.00 4,734 3,065.33 5,64,238.94
49 0.7674358 5,64,238.94 4,734 3,056.29 5,62,560.85
50 0.7633013 5,62,560.85 4,734 3,047.20 5,60,873.66
51 0.759189 5,60,873.66 4,734 3,038.07 5,59,177.34
52 0.7550989 5,59,177.34 4,734 3,028.88 5,57,471.83
53 0.7510308 5,57,471.83 4,734 3,019.64 5,55,757.08
54 0.7469846 5,55,757.08 4,734 3,010.35 5,54,033.04
55 0.7429603 5,54,033.04 4,734 3,001.01 5,52,299.66
56 0.7389576 5,52,299.66 4,734 2,991.62 5,50,556.89
57 0.7349765 5,50,556.89 4,734 2,982.18 5,48,804.69
58 0.7310168 5,48,804.69 4,734 2,972.69 5,47,042.99
59 0.7270784 5,47,042.99 4,734 2,963.15 5,45,271.75
60 0.7231613 5,45,271.75 4,734 2,953.56 5,43,490.92
61 0.7192653 5,43,490.92 4,734 2,943.91 5,41,700.44
62 0.7153903 5,41,700.44 4,734 2,934.21 5,39,900.26
63 0.7115361 5,39,900.26 4,734 2,924.46 5,38,090.33
64 0.7077027 5,38,090.33 4,734 2,914.66 5,36,270.60
65 0.70389 5,36,270.60 4,734 2,904.80 5,34,441.00
66 0.7000978 5,34,441.00 4,734 2,894.89 5,32,601.50
67 0.696326 5,32,601.50 4,734 2,884.92 5,30,752.04
68 0.6925746 5,30,752.04 4,734 2,874.91 5,28,892.56
69 0.6888433 5,28,892.56 4,734 2,864.83 5,27,023.00
70 0.6851322 5,27,023.00 4,734 2,854.71 5,25,143.32
71 0.6814411 5,25,143.32 4,734 2,844.53 5,23,253.46
Corporate finance 16
72 0.6777698 5,23,253.46 4,734 2,834.29 5,21,353.36
73 0.6741183 5,21,353.36 4,734 2,824.00 5,19,442.97
74 0.6704865 5,19,442.97 4,734 2,813.65 5,17,522.23
75 0.6668743 5,17,522.23 4,734 2,803.25 5,15,591.08
76 0.6632815 5,15,591.08 4,734 2,792.79 5,13,649.48
77 0.6597081 5,13,649.48 4,734 2,782.27 5,11,697.36
78 0.6561539 5,11,697.36 4,734 2,771.69 5,09,734.66
79 0.6526189 5,09,734.66 4,734 2,761.06 5,07,761.33
80 0.649103 5,07,761.33 4,734 2,750.37 5,05,777.32
81 0.6456059 5,05,777.32 4,734 2,739.63 5,03,782.56
82 0.6421277 5,03,782.56 4,734 2,728.82 5,01,776.99
83 0.6386683 5,01,776.99 4,734 2,717.96 4,99,760.56
84 0.6352275 4,99,760.56 4,734 2,707.04 4,97,733.21
85 0.6318052 4,97,733.21 4,734 2,696.05 4,95,694.87
86 0.6284013 4,95,694.87 4,734 2,685.01 4,93,645.50
87 0.6250158 4,93,645.50 4,734 2,673.91 4,91,585.02
88 0.6216486 4,91,585.02 4,734 2,662.75 4,89,513.38
89 0.6182995 4,89,513.38 4,734 2,651.53 4,87,430.52
90 0.6149684 4,87,430.52 4,734 2,640.25 4,85,336.38
91 0.6116552 4,85,336.38 4,734 2,628.91 4,83,230.90
92 0.60836 4,83,230.90 4,734 2,617.50 4,81,114.01
93 0.6050824 4,81,114.01 4,734 2,606.03 4,78,985.65
94 0.6018226 4,78,985.65 4,734 2,594.51 4,76,845.77
95 0.5985802 4,76,845.77 4,734 2,582.91 4,74,694.30
96 0.5953554 4,74,694.30 4,734 2,571.26 4,72,531.17
97 0.5921479 4,72,531.17 4,734 2,559.54 4,70,356.32
98 0.5889577 4,70,356.32 4,734 2,547.76 4,68,169.70
99 0.5857847 4,68,169.70 4,734 2,535.92 4,65,971.23
100 0.5826288 4,65,971.23 4,734 2,524.01 4,63,760.85
101 0.5794899 4,63,760.85 4,734 2,512.04 4,61,538.50
102 0.5763679 4,61,538.50 4,734 2,500.00 4,59,304.11
103 0.5732628 4,59,304.11 4,734 2,487.90 4,57,057.61
104 0.5701743 4,57,057.61 4,734 2,475.73 4,54,798.95
105 0.5671025 4,54,798.95 4,734 2,463.49 4,52,528.06
106 0.5640473 4,52,528.06 4,734 2,451.19 4,50,244.86
107 0.5610085 4,50,244.86 4,734 2,438.83 4,47,949.30
108 0.557986 4,47,949.30 4,734 2,426.39 4,45,641.30
109 0.5549799 4,45,641.30 4,734 2,413.89 4,43,320.80
110 0.55199 4,43,320.80 4,734 2,401.32 4,40,987.73
111 0.5490161 4,40,987.73 4,734 2,388.68 4,38,642.03
112 0.5460583 4,38,642.03 4,734 2,375.98 4,36,283.62
113 0.5431164 4,36,283.62 4,734 2,363.20 4,33,912.43
114 0.5401904 4,33,912.43 4,734 2,350.36 4,31,528.40
115 0.5372801 4,31,528.40 4,734 2,337.45 4,29,131.46
72 0.6777698 5,23,253.46 4,734 2,834.29 5,21,353.36
73 0.6741183 5,21,353.36 4,734 2,824.00 5,19,442.97
74 0.6704865 5,19,442.97 4,734 2,813.65 5,17,522.23
75 0.6668743 5,17,522.23 4,734 2,803.25 5,15,591.08
76 0.6632815 5,15,591.08 4,734 2,792.79 5,13,649.48
77 0.6597081 5,13,649.48 4,734 2,782.27 5,11,697.36
78 0.6561539 5,11,697.36 4,734 2,771.69 5,09,734.66
79 0.6526189 5,09,734.66 4,734 2,761.06 5,07,761.33
80 0.649103 5,07,761.33 4,734 2,750.37 5,05,777.32
81 0.6456059 5,05,777.32 4,734 2,739.63 5,03,782.56
82 0.6421277 5,03,782.56 4,734 2,728.82 5,01,776.99
83 0.6386683 5,01,776.99 4,734 2,717.96 4,99,760.56
84 0.6352275 4,99,760.56 4,734 2,707.04 4,97,733.21
85 0.6318052 4,97,733.21 4,734 2,696.05 4,95,694.87
86 0.6284013 4,95,694.87 4,734 2,685.01 4,93,645.50
87 0.6250158 4,93,645.50 4,734 2,673.91 4,91,585.02
88 0.6216486 4,91,585.02 4,734 2,662.75 4,89,513.38
89 0.6182995 4,89,513.38 4,734 2,651.53 4,87,430.52
90 0.6149684 4,87,430.52 4,734 2,640.25 4,85,336.38
91 0.6116552 4,85,336.38 4,734 2,628.91 4,83,230.90
92 0.60836 4,83,230.90 4,734 2,617.50 4,81,114.01
93 0.6050824 4,81,114.01 4,734 2,606.03 4,78,985.65
94 0.6018226 4,78,985.65 4,734 2,594.51 4,76,845.77
95 0.5985802 4,76,845.77 4,734 2,582.91 4,74,694.30
96 0.5953554 4,74,694.30 4,734 2,571.26 4,72,531.17
97 0.5921479 4,72,531.17 4,734 2,559.54 4,70,356.32
98 0.5889577 4,70,356.32 4,734 2,547.76 4,68,169.70
99 0.5857847 4,68,169.70 4,734 2,535.92 4,65,971.23
100 0.5826288 4,65,971.23 4,734 2,524.01 4,63,760.85
101 0.5794899 4,63,760.85 4,734 2,512.04 4,61,538.50
102 0.5763679 4,61,538.50 4,734 2,500.00 4,59,304.11
103 0.5732628 4,59,304.11 4,734 2,487.90 4,57,057.61
104 0.5701743 4,57,057.61 4,734 2,475.73 4,54,798.95
105 0.5671025 4,54,798.95 4,734 2,463.49 4,52,528.06
106 0.5640473 4,52,528.06 4,734 2,451.19 4,50,244.86
107 0.5610085 4,50,244.86 4,734 2,438.83 4,47,949.30
108 0.557986 4,47,949.30 4,734 2,426.39 4,45,641.30
109 0.5549799 4,45,641.30 4,734 2,413.89 4,43,320.80
110 0.55199 4,43,320.80 4,734 2,401.32 4,40,987.73
111 0.5490161 4,40,987.73 4,734 2,388.68 4,38,642.03
112 0.5460583 4,38,642.03 4,734 2,375.98 4,36,283.62
113 0.5431164 4,36,283.62 4,734 2,363.20 4,33,912.43
114 0.5401904 4,33,912.43 4,734 2,350.36 4,31,528.40
115 0.5372801 4,31,528.40 4,734 2,337.45 4,29,131.46
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Corporate finance 17
116 0.5343855 4,29,131.46 4,734 2,324.46 4,26,721.53
117 0.5315065 4,26,721.53 4,734 2,311.41 4,24,298.55
118 0.5286431 4,24,298.55 4,734 2,298.28 4,21,862.44
119 0.525795 4,21,862.44 4,734 2,285.09 4,19,413.14
120 0.5229623 4,19,413.14 4,734 2,271.82 4,16,950.57
121 0.5201448 4,16,950.57 4,734 2,258.48 4,14,474.67
122 0.5173426 4,14,474.67 4,734 2,245.07 4,11,985.35
123 0.5145554 4,11,985.35 4,734 2,231.59 4,09,482.54
124 0.5117832 4,09,482.54 4,734 2,218.03 4,06,966.19
125 0.509026 4,06,966.19 4,734 2,204.40 4,04,436.20
126 0.5062836 4,04,436.20 4,734 2,190.70 4,01,892.50
127 0.503556 4,01,892.50 4,734 2,176.92 3,99,335.03
128 0.5008431 3,99,335.03 4,734 2,163.06 3,96,763.71
129 0.4981449 3,96,763.71 4,734 2,149.14 3,94,178.45
130 0.4954611 3,94,178.45 4,734 2,135.13 3,91,579.20
131 0.4927918 3,91,579.20 4,734 2,121.05 3,88,965.86
132 0.4901369 3,88,965.86 4,734 2,106.90 3,86,338.37
133 0.4874963 3,86,338.37 4,734 2,092.67 3,83,696.65
134 0.4848699 3,83,696.65 4,734 2,078.36 3,81,040.62
135 0.4822577 3,81,040.62 4,734 2,063.97 3,78,370.20
136 0.4796595 3,78,370.20 4,734 2,049.51 3,75,685.31
137 0.4770754 3,75,685.31 4,734 2,034.96 3,72,985.89
138 0.4745052 3,72,985.89 4,734 2,020.34 3,70,271.84
139 0.4719488 3,70,271.84 4,734 2,005.64 3,67,543.09
140 0.4694061 3,67,543.09 4,734 1,990.86 3,64,799.55
141 0.4668772 3,64,799.55 4,734 1,976.00 3,62,041.16
142 0.4643619 3,62,041.16 4,734 1,961.06 3,59,267.83
143 0.4618602 3,59,267.83 4,734 1,946.03 3,56,479.47
144 0.4593719 3,56,479.47 4,734 1,930.93 3,53,676.02
145 0.4568971 3,53,676.02 4,734 1,915.75 3,50,857.37
146 0.4544355 3,50,857.37 4,734 1,900.48 3,48,023.46
147 0.4519873 3,48,023.46 4,734 1,885.13 3,45,174.20
148 0.4495522 3,45,174.20 4,734 1,869.69 3,42,309.50
149 0.4471302 3,42,309.50 4,734 1,854.18 3,39,429.29
150 0.4447213 3,39,429.29 4,734 1,838.58 3,36,533.47
151 0.4423254 3,36,533.47 4,734 1,822.89 3,33,621.97
152 0.4399424 3,33,621.97 4,734 1,807.12 3,30,694.70
153 0.4375722 3,30,694.70 4,734 1,791.26 3,27,751.58
154 0.4352148 3,27,751.58 4,734 1,775.32 3,24,792.51
155 0.4328701 3,24,792.51 4,734 1,759.29 3,21,817.41
156 0.430538 3,21,817.41 4,734 1,743.18 3,18,826.20
157 0.4282185 3,18,826.20 4,734 1,726.98 3,15,818.79
158 0.4259115 3,15,818.79 4,734 1,710.69 3,12,795.08
159 0.4236169 3,12,795.08 4,734 1,694.31 3,09,755.00
116 0.5343855 4,29,131.46 4,734 2,324.46 4,26,721.53
117 0.5315065 4,26,721.53 4,734 2,311.41 4,24,298.55
118 0.5286431 4,24,298.55 4,734 2,298.28 4,21,862.44
119 0.525795 4,21,862.44 4,734 2,285.09 4,19,413.14
120 0.5229623 4,19,413.14 4,734 2,271.82 4,16,950.57
121 0.5201448 4,16,950.57 4,734 2,258.48 4,14,474.67
122 0.5173426 4,14,474.67 4,734 2,245.07 4,11,985.35
123 0.5145554 4,11,985.35 4,734 2,231.59 4,09,482.54
124 0.5117832 4,09,482.54 4,734 2,218.03 4,06,966.19
125 0.509026 4,06,966.19 4,734 2,204.40 4,04,436.20
126 0.5062836 4,04,436.20 4,734 2,190.70 4,01,892.50
127 0.503556 4,01,892.50 4,734 2,176.92 3,99,335.03
128 0.5008431 3,99,335.03 4,734 2,163.06 3,96,763.71
129 0.4981449 3,96,763.71 4,734 2,149.14 3,94,178.45
130 0.4954611 3,94,178.45 4,734 2,135.13 3,91,579.20
131 0.4927918 3,91,579.20 4,734 2,121.05 3,88,965.86
132 0.4901369 3,88,965.86 4,734 2,106.90 3,86,338.37
133 0.4874963 3,86,338.37 4,734 2,092.67 3,83,696.65
134 0.4848699 3,83,696.65 4,734 2,078.36 3,81,040.62
135 0.4822577 3,81,040.62 4,734 2,063.97 3,78,370.20
136 0.4796595 3,78,370.20 4,734 2,049.51 3,75,685.31
137 0.4770754 3,75,685.31 4,734 2,034.96 3,72,985.89
138 0.4745052 3,72,985.89 4,734 2,020.34 3,70,271.84
139 0.4719488 3,70,271.84 4,734 2,005.64 3,67,543.09
140 0.4694061 3,67,543.09 4,734 1,990.86 3,64,799.55
141 0.4668772 3,64,799.55 4,734 1,976.00 3,62,041.16
142 0.4643619 3,62,041.16 4,734 1,961.06 3,59,267.83
143 0.4618602 3,59,267.83 4,734 1,946.03 3,56,479.47
144 0.4593719 3,56,479.47 4,734 1,930.93 3,53,676.02
145 0.4568971 3,53,676.02 4,734 1,915.75 3,50,857.37
146 0.4544355 3,50,857.37 4,734 1,900.48 3,48,023.46
147 0.4519873 3,48,023.46 4,734 1,885.13 3,45,174.20
148 0.4495522 3,45,174.20 4,734 1,869.69 3,42,309.50
149 0.4471302 3,42,309.50 4,734 1,854.18 3,39,429.29
150 0.4447213 3,39,429.29 4,734 1,838.58 3,36,533.47
151 0.4423254 3,36,533.47 4,734 1,822.89 3,33,621.97
152 0.4399424 3,33,621.97 4,734 1,807.12 3,30,694.70
153 0.4375722 3,30,694.70 4,734 1,791.26 3,27,751.58
154 0.4352148 3,27,751.58 4,734 1,775.32 3,24,792.51
155 0.4328701 3,24,792.51 4,734 1,759.29 3,21,817.41
156 0.430538 3,21,817.41 4,734 1,743.18 3,18,826.20
157 0.4282185 3,18,826.20 4,734 1,726.98 3,15,818.79
158 0.4259115 3,15,818.79 4,734 1,710.69 3,12,795.08
159 0.4236169 3,12,795.08 4,734 1,694.31 3,09,755.00
Corporate finance 18
160 0.4213346 3,09,755.00 4,734 1,677.84 3,06,698.45
161 0.4190647 3,06,698.45 4,734 1,661.28 3,03,625.34
162 0.416807 3,03,625.34 4,734 1,644.64 3,00,535.59
163 0.4145615 3,00,535.59 4,734 1,627.90 2,97,429.10
164 0.412328 2,97,429.10 4,734 1,611.07 2,94,305.79
165 0.4101066 2,94,305.79 4,734 1,594.16 2,91,165.55
166 0.4078972 2,91,165.55 4,734 1,577.15 2,88,008.31
167 0.4056996 2,88,008.31 4,734 1,560.05 2,84,833.97
168 0.4035139 2,84,833.97 4,734 1,542.85 2,81,642.43
169 0.40134 2,81,642.43 4,734 1,525.56 2,78,433.60
170 0.3991778 2,78,433.60 4,734 1,508.18 2,75,207.40
171 0.3970272 2,75,207.40 4,734 1,490.71 2,71,963.71
172 0.3948882 2,71,963.71 4,734 1,473.14 2,68,702.46
173 0.3927608 2,68,702.46 4,734 1,455.47 2,65,423.54
174 0.3906448 2,65,423.54 4,734 1,437.71 2,62,126.86
175 0.3885402 2,62,126.86 4,734 1,419.85 2,58,812.33
176 0.386447 2,58,812.33 4,734 1,401.90 2,55,479.84
177 0.384365 2,55,479.84 4,734 1,383.85 2,52,129.30
178 0.3822942 2,52,129.30 4,734 1,365.70 2,48,760.61
179 0.3802346 2,48,760.61 4,734 1,347.45 2,45,373.67
180 0.3781861 2,45,373.67 4,734 1,329.11 2,41,968.39
181 0.3761486 2,41,968.39 4,734 1,310.66 2,38,544.66
182 0.3741221 2,38,544.66 4,734 1,292.12 2,35,102.39
183 0.3721066 2,35,102.39 4,734 1,273.47 2,31,641.47
184 0.3701018 2,31,641.47 4,734 1,254.72 2,28,161.81
185 0.3681079 2,28,161.81 4,734 1,235.88 2,24,663.30
186 0.3661247 2,24,663.30 4,734 1,216.93 2,21,145.83
187 0.3641523 2,21,145.83 4,734 1,197.87 2,17,609.32
188 0.3621904 2,17,609.32 4,734 1,178.72 2,14,053.64
189 0.3602391 2,14,053.64 4,734 1,159.46 2,10,478.71
190 0.3582983 2,10,478.71 4,734 1,140.09 2,06,884.42
191 0.356368 2,06,884.42 4,734 1,120.62 2,03,270.65
192 0.3544481 2,03,270.65 4,734 1,101.05 1,99,637.31
193 0.3525385 1,99,637.31 4,734 1,081.37 1,95,984.29
194 0.3506392 1,95,984.29 4,734 1,061.58 1,92,311.48
195 0.3487501 1,92,311.48 4,734 1,041.69 1,88,618.78
196 0.3468712 1,88,618.78 4,734 1,021.69 1,84,906.07
197 0.3450025 1,84,906.07 4,734 1,001.57 1,81,173.26
198 0.3431438 1,81,173.26 4,734 981.36 1,77,420.23
199 0.3412951 1,77,420.23 4,734 961.03 1,73,646.86
200 0.3394564 1,73,646.86 4,734 940.59 1,69,853.06
201 0.3376276 1,69,853.06 4,734 920.04 1,66,038.71
202 0.3358086 1,66,038.71 4,734 899.38 1,62,203.70
203 0.3339994 1,62,203.70 4,734 878.60 1,58,347.91
160 0.4213346 3,09,755.00 4,734 1,677.84 3,06,698.45
161 0.4190647 3,06,698.45 4,734 1,661.28 3,03,625.34
162 0.416807 3,03,625.34 4,734 1,644.64 3,00,535.59
163 0.4145615 3,00,535.59 4,734 1,627.90 2,97,429.10
164 0.412328 2,97,429.10 4,734 1,611.07 2,94,305.79
165 0.4101066 2,94,305.79 4,734 1,594.16 2,91,165.55
166 0.4078972 2,91,165.55 4,734 1,577.15 2,88,008.31
167 0.4056996 2,88,008.31 4,734 1,560.05 2,84,833.97
168 0.4035139 2,84,833.97 4,734 1,542.85 2,81,642.43
169 0.40134 2,81,642.43 4,734 1,525.56 2,78,433.60
170 0.3991778 2,78,433.60 4,734 1,508.18 2,75,207.40
171 0.3970272 2,75,207.40 4,734 1,490.71 2,71,963.71
172 0.3948882 2,71,963.71 4,734 1,473.14 2,68,702.46
173 0.3927608 2,68,702.46 4,734 1,455.47 2,65,423.54
174 0.3906448 2,65,423.54 4,734 1,437.71 2,62,126.86
175 0.3885402 2,62,126.86 4,734 1,419.85 2,58,812.33
176 0.386447 2,58,812.33 4,734 1,401.90 2,55,479.84
177 0.384365 2,55,479.84 4,734 1,383.85 2,52,129.30
178 0.3822942 2,52,129.30 4,734 1,365.70 2,48,760.61
179 0.3802346 2,48,760.61 4,734 1,347.45 2,45,373.67
180 0.3781861 2,45,373.67 4,734 1,329.11 2,41,968.39
181 0.3761486 2,41,968.39 4,734 1,310.66 2,38,544.66
182 0.3741221 2,38,544.66 4,734 1,292.12 2,35,102.39
183 0.3721066 2,35,102.39 4,734 1,273.47 2,31,641.47
184 0.3701018 2,31,641.47 4,734 1,254.72 2,28,161.81
185 0.3681079 2,28,161.81 4,734 1,235.88 2,24,663.30
186 0.3661247 2,24,663.30 4,734 1,216.93 2,21,145.83
187 0.3641523 2,21,145.83 4,734 1,197.87 2,17,609.32
188 0.3621904 2,17,609.32 4,734 1,178.72 2,14,053.64
189 0.3602391 2,14,053.64 4,734 1,159.46 2,10,478.71
190 0.3582983 2,10,478.71 4,734 1,140.09 2,06,884.42
191 0.356368 2,06,884.42 4,734 1,120.62 2,03,270.65
192 0.3544481 2,03,270.65 4,734 1,101.05 1,99,637.31
193 0.3525385 1,99,637.31 4,734 1,081.37 1,95,984.29
194 0.3506392 1,95,984.29 4,734 1,061.58 1,92,311.48
195 0.3487501 1,92,311.48 4,734 1,041.69 1,88,618.78
196 0.3468712 1,88,618.78 4,734 1,021.69 1,84,906.07
197 0.3450025 1,84,906.07 4,734 1,001.57 1,81,173.26
198 0.3431438 1,81,173.26 4,734 981.36 1,77,420.23
199 0.3412951 1,77,420.23 4,734 961.03 1,73,646.86
200 0.3394564 1,73,646.86 4,734 940.59 1,69,853.06
201 0.3376276 1,69,853.06 4,734 920.04 1,66,038.71
202 0.3358086 1,66,038.71 4,734 899.38 1,62,203.70
203 0.3339994 1,62,203.70 4,734 878.60 1,58,347.91
Corporate finance 19
204 0.3322 1,58,347.91 4,734 857.72 1,54,471.24
205 0.3304103 1,54,471.24 4,734 836.72 1,50,573.57
206 0.3286302 1,50,573.57 4,734 815.61 1,46,654.78
207 0.3268597 1,46,654.78 4,734 794.38 1,42,714.78
208 0.3250988 1,42,714.78 4,734 773.04 1,38,753.42
209 0.3233473 1,38,753.42 4,734 751.58 1,34,770.62
210 0.3216053 1,34,770.62 4,734 730.01 1,30,766.23
211 0.3198726 1,30,766.23 4,734 708.32 1,26,740.16
212 0.3181493 1,26,740.16 4,734 686.51 1,22,692.28
213 0.3164353 1,22,692.28 4,734 664.58 1,18,622.48
214 0.3147305 1,18,622.48 4,734 642.54 1,14,530.62
215 0.3130349 1,14,530.62 4,734 620.37 1,10,416.61
216 0.3113484 1,10,416.61 4,734 598.09 1,06,280.31
217 0.309671 1,06,280.31 4,734 575.69 1,02,121.61
218 0.3080027 1,02,121.61 4,734 553.16 97,940.37
219 0.3063433 97,940.37 4,734 530.51 93,736.50
220 0.3046929 93,736.50 4,734 507.74 89,509.85
221 0.3030514 89,509.85 4,734 484.84 85,260.30
222 0.3014187 85,260.30 4,734 461.83 80,987.74
223 0.2997948 80,987.74 4,734 438.68 76,692.03
224 0.2981797 76,692.03 4,734 415.42 72,373.06
225 0.2965732 72,373.06 4,734 392.02 68,030.69
226 0.2949755 68,030.69 4,734 368.50 63,664.80
227 0.2933863 63,664.80 4,734 344.85 59,275.26
228 0.2918057 59,275.26 4,734 321.07 54,861.95
229 0.2902336 54,861.95 4,734 297.17 50,424.73
230 0.2886699 50,424.73 4,734 273.13 45,963.47
231 0.2871147 45,963.47 4,734 248.97 41,478.05
232 0.2855679 41,478.05 4,734 224.67 36,968.33
233 0.2840294 36,968.33 4,734 200.25 32,434.19
234 0.2824992 32,434.19 4,734 175.69 27,875.48
235 0.2809772 27,875.48 4,734 150.99 23,292.09
236 0.2794635 23,292.09 4,734 126.17 18,683.86
237 0.2779579 18,683.86 4,734 101.20 14,050.68
238 0.2764604 14,050.68 4,734 76.11 9,392.40
239 0.274971 9,392.40 4,734 50.88 4,708.88
240 0.2734896 4,708.88 4,734 25.51 (0.00)
Total 134.13 501253.46
Quetsion 2
Carla
Interest rate per annum 4.50%
Interest rate monthly 0.38%
204 0.3322 1,58,347.91 4,734 857.72 1,54,471.24
205 0.3304103 1,54,471.24 4,734 836.72 1,50,573.57
206 0.3286302 1,50,573.57 4,734 815.61 1,46,654.78
207 0.3268597 1,46,654.78 4,734 794.38 1,42,714.78
208 0.3250988 1,42,714.78 4,734 773.04 1,38,753.42
209 0.3233473 1,38,753.42 4,734 751.58 1,34,770.62
210 0.3216053 1,34,770.62 4,734 730.01 1,30,766.23
211 0.3198726 1,30,766.23 4,734 708.32 1,26,740.16
212 0.3181493 1,26,740.16 4,734 686.51 1,22,692.28
213 0.3164353 1,22,692.28 4,734 664.58 1,18,622.48
214 0.3147305 1,18,622.48 4,734 642.54 1,14,530.62
215 0.3130349 1,14,530.62 4,734 620.37 1,10,416.61
216 0.3113484 1,10,416.61 4,734 598.09 1,06,280.31
217 0.309671 1,06,280.31 4,734 575.69 1,02,121.61
218 0.3080027 1,02,121.61 4,734 553.16 97,940.37
219 0.3063433 97,940.37 4,734 530.51 93,736.50
220 0.3046929 93,736.50 4,734 507.74 89,509.85
221 0.3030514 89,509.85 4,734 484.84 85,260.30
222 0.3014187 85,260.30 4,734 461.83 80,987.74
223 0.2997948 80,987.74 4,734 438.68 76,692.03
224 0.2981797 76,692.03 4,734 415.42 72,373.06
225 0.2965732 72,373.06 4,734 392.02 68,030.69
226 0.2949755 68,030.69 4,734 368.50 63,664.80
227 0.2933863 63,664.80 4,734 344.85 59,275.26
228 0.2918057 59,275.26 4,734 321.07 54,861.95
229 0.2902336 54,861.95 4,734 297.17 50,424.73
230 0.2886699 50,424.73 4,734 273.13 45,963.47
231 0.2871147 45,963.47 4,734 248.97 41,478.05
232 0.2855679 41,478.05 4,734 224.67 36,968.33
233 0.2840294 36,968.33 4,734 200.25 32,434.19
234 0.2824992 32,434.19 4,734 175.69 27,875.48
235 0.2809772 27,875.48 4,734 150.99 23,292.09
236 0.2794635 23,292.09 4,734 126.17 18,683.86
237 0.2779579 18,683.86 4,734 101.20 14,050.68
238 0.2764604 14,050.68 4,734 76.11 9,392.40
239 0.274971 9,392.40 4,734 50.88 4,708.88
240 0.2734896 4,708.88 4,734 25.51 (0.00)
Total 134.13 501253.46
Quetsion 2
Carla
Interest rate per annum 4.50%
Interest rate monthly 0.38%
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Corporate finance 20
A Loan amount $5,50,000
B Tenure (years) 15
C Months 180
D Monthly rate 0.38%
D EMI amount $ 4,207.46
$
Period PVF Opening outstanding Installment Interest Closing
1 0.996264 5,50,000.00 4,207 2,062.50 5,47,855.04
2 0.992542 5,47,855.04 4,207 2,054.46 5,45,702.03
3 0.9888339 5,45,702.03 4,207 2,046.38 5,43,540.95
4 0.9851396 5,43,540.95 4,207 2,038.28 5,41,371.77
5 0.9814591 5,41,371.77 4,207 2,030.14 5,39,194.45
6 0.9777924 5,39,194.45 4,207 2,021.98 5,37,008.96
7 0.9741394 5,37,008.96 4,207 2,013.78 5,34,815.28
8 0.9705 5,34,815.28 4,207 2,005.56 5,32,613.38
9 0.9668742 5,32,613.38 4,207 1,997.30 5,30,403.21
10 0.963262 5,30,403.21 4,207 1,989.01 5,28,184.76
11 0.9596632 5,28,184.76 4,207 1,980.69 5,25,957.99
12 0.9560779 5,25,957.99 4,207 1,972.34 5,23,722.87
13 0.952506 5,23,722.87 4,207 1,963.96 5,21,479.37
14 0.9489475 5,21,479.37 4,207 1,955.55 5,19,227.45
15 0.9454022 5,19,227.45 4,207 1,947.10 5,16,967.09
16 0.9418702 5,16,967.09 4,207 1,938.63 5,14,698.26
17 0.9383514 5,14,698.26 4,207 1,930.12 5,12,420.91
18 0.9348457 5,12,420.91 4,207 1,921.58 5,10,135.03
19 0.9313532 5,10,135.03 4,207 1,913.01 5,07,840.57
20 0.9278736 5,07,840.57 4,207 1,904.40 5,05,537.51
21 0.9244071 5,05,537.51 4,207 1,895.77 5,03,225.81
22 0.9209535 5,03,225.81 4,207 1,887.10 5,00,905.45
23 0.9175129 5,00,905.45 4,207 1,878.40 4,98,576.38
24 0.914085 4,98,576.38 4,207 1,869.66 4,96,238.58
25 0.91067 4,96,238.58 4,207 1,860.89 4,93,892.01
26 0.9072678 4,93,892.01 4,207 1,852.10 4,91,536.64
27 0.9038782 4,91,536.64 4,207 1,843.26 4,89,172.44
28 0.9005013 4,89,172.44 4,207 1,834.40 4,86,799.37
29 0.8971371 4,86,799.37 4,207 1,825.50 4,84,417.41
30 0.8937854 4,84,417.41 4,207 1,816.57 4,82,026.51
31 0.8904462 4,82,026.51 4,207 1,807.60 4,79,626.65
32 0.8871195 4,79,626.65 4,207 1,798.60 4,77,217.78
33 0.8838052 4,77,217.78 4,207 1,789.57 4,74,799.89
34 0.8805034 4,74,799.89 4,207 1,780.50 4,72,372.92
A Loan amount $5,50,000
B Tenure (years) 15
C Months 180
D Monthly rate 0.38%
D EMI amount $ 4,207.46
$
Period PVF Opening outstanding Installment Interest Closing
1 0.996264 5,50,000.00 4,207 2,062.50 5,47,855.04
2 0.992542 5,47,855.04 4,207 2,054.46 5,45,702.03
3 0.9888339 5,45,702.03 4,207 2,046.38 5,43,540.95
4 0.9851396 5,43,540.95 4,207 2,038.28 5,41,371.77
5 0.9814591 5,41,371.77 4,207 2,030.14 5,39,194.45
6 0.9777924 5,39,194.45 4,207 2,021.98 5,37,008.96
7 0.9741394 5,37,008.96 4,207 2,013.78 5,34,815.28
8 0.9705 5,34,815.28 4,207 2,005.56 5,32,613.38
9 0.9668742 5,32,613.38 4,207 1,997.30 5,30,403.21
10 0.963262 5,30,403.21 4,207 1,989.01 5,28,184.76
11 0.9596632 5,28,184.76 4,207 1,980.69 5,25,957.99
12 0.9560779 5,25,957.99 4,207 1,972.34 5,23,722.87
13 0.952506 5,23,722.87 4,207 1,963.96 5,21,479.37
14 0.9489475 5,21,479.37 4,207 1,955.55 5,19,227.45
15 0.9454022 5,19,227.45 4,207 1,947.10 5,16,967.09
16 0.9418702 5,16,967.09 4,207 1,938.63 5,14,698.26
17 0.9383514 5,14,698.26 4,207 1,930.12 5,12,420.91
18 0.9348457 5,12,420.91 4,207 1,921.58 5,10,135.03
19 0.9313532 5,10,135.03 4,207 1,913.01 5,07,840.57
20 0.9278736 5,07,840.57 4,207 1,904.40 5,05,537.51
21 0.9244071 5,05,537.51 4,207 1,895.77 5,03,225.81
22 0.9209535 5,03,225.81 4,207 1,887.10 5,00,905.45
23 0.9175129 5,00,905.45 4,207 1,878.40 4,98,576.38
24 0.914085 4,98,576.38 4,207 1,869.66 4,96,238.58
25 0.91067 4,96,238.58 4,207 1,860.89 4,93,892.01
26 0.9072678 4,93,892.01 4,207 1,852.10 4,91,536.64
27 0.9038782 4,91,536.64 4,207 1,843.26 4,89,172.44
28 0.9005013 4,89,172.44 4,207 1,834.40 4,86,799.37
29 0.8971371 4,86,799.37 4,207 1,825.50 4,84,417.41
30 0.8937854 4,84,417.41 4,207 1,816.57 4,82,026.51
31 0.8904462 4,82,026.51 4,207 1,807.60 4,79,626.65
32 0.8871195 4,79,626.65 4,207 1,798.60 4,77,217.78
33 0.8838052 4,77,217.78 4,207 1,789.57 4,74,799.89
34 0.8805034 4,74,799.89 4,207 1,780.50 4,72,372.92
Corporate finance 21
35 0.8772138 4,72,372.92 4,207 1,771.40 4,69,936.86
36 0.8739365 4,69,936.86 4,207 1,762.26 4,67,491.66
37 0.8706715 4,67,491.66 4,207 1,753.09 4,65,037.29
38 0.8674187 4,65,037.29 4,207 1,743.89 4,62,573.72
39 0.864178 4,62,573.72 4,207 1,734.65 4,60,100.91
40 0.8609495 4,60,100.91 4,207 1,725.38 4,57,618.82
41 0.857733 4,57,618.82 4,207 1,716.07 4,55,127.43
42 0.8545285 4,55,127.43 4,207 1,706.73 4,52,626.69
43 0.851336 4,52,626.69 4,207 1,697.35 4,50,116.58
44 0.8481554 4,50,116.58 4,207 1,687.94 4,47,597.05
45 0.8449867 4,47,597.05 4,207 1,678.49 4,45,068.08
46 0.8418298 4,45,068.08 4,207 1,669.01 4,42,529.62
47 0.8386848 4,42,529.62 4,207 1,659.49 4,39,981.65
48 0.8355515 4,39,981.65 4,207 1,649.93 4,37,424.11
49 0.8324298 4,37,424.11 4,207 1,640.34 4,34,856.99
50 0.8293199 4,34,856.99 4,207 1,630.71 4,32,280.24
51 0.8262216 4,32,280.24 4,207 1,621.05 4,29,693.83
52 0.8231348 4,29,693.83 4,207 1,611.35 4,27,097.72
53 0.8200596 4,27,097.72 4,207 1,601.62 4,24,491.87
54 0.8169959 4,24,491.87 4,207 1,591.84 4,21,876.25
55 0.8139436 4,21,876.25 4,207 1,582.04 4,19,250.83
56 0.8109027 4,19,250.83 4,207 1,572.19 4,16,615.55
57 0.8078732 4,16,615.55 4,207 1,562.31 4,13,970.40
58 0.8048549 4,13,970.40 4,207 1,552.39 4,11,315.32
59 0.801848 4,11,315.32 4,207 1,542.43 4,08,650.29
60 0.7988523 4,08,650.29 4,207 1,532.44 4,05,975.27
61 0.7958678 4,05,975.27 4,207 1,522.41 4,03,290.21
62 0.7928945 4,03,290.21 4,207 1,512.34 4,00,595.09
63 0.7899322 4,00,595.09 4,207 1,502.23 3,97,889.86
64 0.786981 3,97,889.86 4,207 1,492.09 3,95,174.48
65 0.7840409 3,95,174.48 4,207 1,481.90 3,92,448.92
66 0.7811117 3,92,448.92 4,207 1,471.68 3,89,713.14
67 0.7781935 3,89,713.14 4,207 1,461.42 3,86,967.10
68 0.7752862 3,86,967.10 4,207 1,451.13 3,84,210.77
69 0.7723897 3,84,210.77 4,207 1,440.79 3,81,444.09
70 0.7695041 3,81,444.09 4,207 1,430.42 3,78,667.05
71 0.7666292 3,78,667.05 4,207 1,420.00 3,75,879.59
72 0.7637651 3,75,879.59 4,207 1,409.55 3,73,081.67
73 0.7609117 3,73,081.67 4,207 1,399.06 3,70,273.26
74 0.7580689 3,70,273.26 4,207 1,388.52 3,67,454.33
75 0.7552368 3,67,454.33 4,207 1,377.95 3,64,624.82
76 0.7524152 3,64,624.82 4,207 1,367.34 3,61,784.70
77 0.7496042 3,61,784.70 4,207 1,356.69 3,58,933.93
78 0.7468037 3,58,933.93 4,207 1,346.00 3,56,072.46
35 0.8772138 4,72,372.92 4,207 1,771.40 4,69,936.86
36 0.8739365 4,69,936.86 4,207 1,762.26 4,67,491.66
37 0.8706715 4,67,491.66 4,207 1,753.09 4,65,037.29
38 0.8674187 4,65,037.29 4,207 1,743.89 4,62,573.72
39 0.864178 4,62,573.72 4,207 1,734.65 4,60,100.91
40 0.8609495 4,60,100.91 4,207 1,725.38 4,57,618.82
41 0.857733 4,57,618.82 4,207 1,716.07 4,55,127.43
42 0.8545285 4,55,127.43 4,207 1,706.73 4,52,626.69
43 0.851336 4,52,626.69 4,207 1,697.35 4,50,116.58
44 0.8481554 4,50,116.58 4,207 1,687.94 4,47,597.05
45 0.8449867 4,47,597.05 4,207 1,678.49 4,45,068.08
46 0.8418298 4,45,068.08 4,207 1,669.01 4,42,529.62
47 0.8386848 4,42,529.62 4,207 1,659.49 4,39,981.65
48 0.8355515 4,39,981.65 4,207 1,649.93 4,37,424.11
49 0.8324298 4,37,424.11 4,207 1,640.34 4,34,856.99
50 0.8293199 4,34,856.99 4,207 1,630.71 4,32,280.24
51 0.8262216 4,32,280.24 4,207 1,621.05 4,29,693.83
52 0.8231348 4,29,693.83 4,207 1,611.35 4,27,097.72
53 0.8200596 4,27,097.72 4,207 1,601.62 4,24,491.87
54 0.8169959 4,24,491.87 4,207 1,591.84 4,21,876.25
55 0.8139436 4,21,876.25 4,207 1,582.04 4,19,250.83
56 0.8109027 4,19,250.83 4,207 1,572.19 4,16,615.55
57 0.8078732 4,16,615.55 4,207 1,562.31 4,13,970.40
58 0.8048549 4,13,970.40 4,207 1,552.39 4,11,315.32
59 0.801848 4,11,315.32 4,207 1,542.43 4,08,650.29
60 0.7988523 4,08,650.29 4,207 1,532.44 4,05,975.27
61 0.7958678 4,05,975.27 4,207 1,522.41 4,03,290.21
62 0.7928945 4,03,290.21 4,207 1,512.34 4,00,595.09
63 0.7899322 4,00,595.09 4,207 1,502.23 3,97,889.86
64 0.786981 3,97,889.86 4,207 1,492.09 3,95,174.48
65 0.7840409 3,95,174.48 4,207 1,481.90 3,92,448.92
66 0.7811117 3,92,448.92 4,207 1,471.68 3,89,713.14
67 0.7781935 3,89,713.14 4,207 1,461.42 3,86,967.10
68 0.7752862 3,86,967.10 4,207 1,451.13 3,84,210.77
69 0.7723897 3,84,210.77 4,207 1,440.79 3,81,444.09
70 0.7695041 3,81,444.09 4,207 1,430.42 3,78,667.05
71 0.7666292 3,78,667.05 4,207 1,420.00 3,75,879.59
72 0.7637651 3,75,879.59 4,207 1,409.55 3,73,081.67
73 0.7609117 3,73,081.67 4,207 1,399.06 3,70,273.26
74 0.7580689 3,70,273.26 4,207 1,388.52 3,67,454.33
75 0.7552368 3,67,454.33 4,207 1,377.95 3,64,624.82
76 0.7524152 3,64,624.82 4,207 1,367.34 3,61,784.70
77 0.7496042 3,61,784.70 4,207 1,356.69 3,58,933.93
78 0.7468037 3,58,933.93 4,207 1,346.00 3,56,072.46
Corporate finance 22
79 0.7440136 3,56,072.46 4,207 1,335.27 3,53,200.27
80 0.741234 3,53,200.27 4,207 1,324.50 3,50,317.31
81 0.7384648 3,50,317.31 4,207 1,313.69 3,47,423.54
82 0.7357059 3,47,423.54 4,207 1,302.84 3,44,518.91
83 0.7329573 3,44,518.91 4,207 1,291.95 3,41,603.40
84 0.730219 3,41,603.40 4,207 1,281.01 3,38,676.95
85 0.7274909 3,38,676.95 4,207 1,270.04 3,35,739.52
86 0.724773 3,35,739.52 4,207 1,259.02 3,32,791.08
87 0.7220652 3,32,791.08 4,207 1,247.97 3,29,831.58
88 0.7193676 3,29,831.58 4,207 1,236.87 3,26,860.99
89 0.71668 3,26,860.99 4,207 1,225.73 3,23,879.26
90 0.7140025 3,23,879.26 4,207 1,214.55 3,20,886.34
91 0.711335 3,20,886.34 4,207 1,203.32 3,17,882.20
92 0.7086775 3,17,882.20 4,207 1,192.06 3,14,866.80
93 0.7060299 3,14,866.80 4,207 1,180.75 3,11,840.08
94 0.7033922 3,11,840.08 4,207 1,169.40 3,08,802.02
95 0.7007643 3,08,802.02 4,207 1,158.01 3,05,752.56
96 0.6981462 3,05,752.56 4,207 1,146.57 3,02,691.67
97 0.695538 3,02,691.67 4,207 1,135.09 2,99,619.30
98 0.6929395 2,99,619.30 4,207 1,123.57 2,96,535.41
99 0.6903506 2,96,535.41 4,207 1,112.01 2,93,439.96
100 0.6877715 2,93,439.96 4,207 1,100.40 2,90,332.90
101 0.685202 2,90,332.90 4,207 1,088.75 2,87,214.18
102 0.6826421 2,87,214.18 4,207 1,077.05 2,84,083.77
103 0.6800917 2,84,083.77 4,207 1,065.31 2,80,941.62
104 0.6775509 2,80,941.62 4,207 1,053.53 2,77,787.69
105 0.6750196 2,77,787.69 4,207 1,041.70 2,74,621.93
106 0.6724977 2,74,621.93 4,207 1,029.83 2,71,444.30
107 0.6699853 2,71,444.30 4,207 1,017.92 2,68,254.75
108 0.6674822 2,68,254.75 4,207 1,005.96 2,65,053.24
109 0.6649885 2,65,053.24 4,207 993.95 2,61,839.73
110 0.6625041 2,61,839.73 4,207 981.90 2,58,614.17
111 0.660029 2,58,614.17 4,207 969.80 2,55,376.51
112 0.6575632 2,55,376.51 4,207 957.66 2,52,126.71
113 0.6551065 2,52,126.71 4,207 945.48 2,48,864.72
114 0.652659 2,48,864.72 4,207 933.24 2,45,590.50
115 0.6502207 2,45,590.50 4,207 920.96 2,42,304.00
116 0.6477915 2,42,304.00 4,207 908.64 2,39,005.18
117 0.6453713 2,39,005.18 4,207 896.27 2,35,693.98
118 0.6429602 2,35,693.98 4,207 883.85 2,32,370.37
119 0.6405582 2,32,370.37 4,207 871.39 2,29,034.30
120 0.638165 2,29,034.30 4,207 858.88 2,25,685.71
121 0.6357809 2,25,685.71 4,207 846.32 2,22,324.57
122 0.6334056 2,22,324.57 4,207 833.72 2,18,950.83
79 0.7440136 3,56,072.46 4,207 1,335.27 3,53,200.27
80 0.741234 3,53,200.27 4,207 1,324.50 3,50,317.31
81 0.7384648 3,50,317.31 4,207 1,313.69 3,47,423.54
82 0.7357059 3,47,423.54 4,207 1,302.84 3,44,518.91
83 0.7329573 3,44,518.91 4,207 1,291.95 3,41,603.40
84 0.730219 3,41,603.40 4,207 1,281.01 3,38,676.95
85 0.7274909 3,38,676.95 4,207 1,270.04 3,35,739.52
86 0.724773 3,35,739.52 4,207 1,259.02 3,32,791.08
87 0.7220652 3,32,791.08 4,207 1,247.97 3,29,831.58
88 0.7193676 3,29,831.58 4,207 1,236.87 3,26,860.99
89 0.71668 3,26,860.99 4,207 1,225.73 3,23,879.26
90 0.7140025 3,23,879.26 4,207 1,214.55 3,20,886.34
91 0.711335 3,20,886.34 4,207 1,203.32 3,17,882.20
92 0.7086775 3,17,882.20 4,207 1,192.06 3,14,866.80
93 0.7060299 3,14,866.80 4,207 1,180.75 3,11,840.08
94 0.7033922 3,11,840.08 4,207 1,169.40 3,08,802.02
95 0.7007643 3,08,802.02 4,207 1,158.01 3,05,752.56
96 0.6981462 3,05,752.56 4,207 1,146.57 3,02,691.67
97 0.695538 3,02,691.67 4,207 1,135.09 2,99,619.30
98 0.6929395 2,99,619.30 4,207 1,123.57 2,96,535.41
99 0.6903506 2,96,535.41 4,207 1,112.01 2,93,439.96
100 0.6877715 2,93,439.96 4,207 1,100.40 2,90,332.90
101 0.685202 2,90,332.90 4,207 1,088.75 2,87,214.18
102 0.6826421 2,87,214.18 4,207 1,077.05 2,84,083.77
103 0.6800917 2,84,083.77 4,207 1,065.31 2,80,941.62
104 0.6775509 2,80,941.62 4,207 1,053.53 2,77,787.69
105 0.6750196 2,77,787.69 4,207 1,041.70 2,74,621.93
106 0.6724977 2,74,621.93 4,207 1,029.83 2,71,444.30
107 0.6699853 2,71,444.30 4,207 1,017.92 2,68,254.75
108 0.6674822 2,68,254.75 4,207 1,005.96 2,65,053.24
109 0.6649885 2,65,053.24 4,207 993.95 2,61,839.73
110 0.6625041 2,61,839.73 4,207 981.90 2,58,614.17
111 0.660029 2,58,614.17 4,207 969.80 2,55,376.51
112 0.6575632 2,55,376.51 4,207 957.66 2,52,126.71
113 0.6551065 2,52,126.71 4,207 945.48 2,48,864.72
114 0.652659 2,48,864.72 4,207 933.24 2,45,590.50
115 0.6502207 2,45,590.50 4,207 920.96 2,42,304.00
116 0.6477915 2,42,304.00 4,207 908.64 2,39,005.18
117 0.6453713 2,39,005.18 4,207 896.27 2,35,693.98
118 0.6429602 2,35,693.98 4,207 883.85 2,32,370.37
119 0.6405582 2,32,370.37 4,207 871.39 2,29,034.30
120 0.638165 2,29,034.30 4,207 858.88 2,25,685.71
121 0.6357809 2,25,685.71 4,207 846.32 2,22,324.57
122 0.6334056 2,22,324.57 4,207 833.72 2,18,950.83
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Corporate finance 23
123 0.6310392 2,18,950.83 4,207 821.07 2,15,564.43
124 0.6286816 2,15,564.43 4,207 808.37 2,12,165.33
125 0.6263329 2,12,165.33 4,207 795.62 2,08,753.49
126 0.6239929 2,08,753.49 4,207 782.83 2,05,328.85
127 0.6216617 2,05,328.85 4,207 769.98 2,01,891.37
128 0.6193392 2,01,891.37 4,207 757.09 1,98,441.00
129 0.6170253 1,98,441.00 4,207 744.15 1,94,977.69
130 0.6147201 1,94,977.69 4,207 731.17 1,91,501.39
131 0.6124235 1,91,501.39 4,207 718.13 1,88,012.06
132 0.6101355 1,88,012.06 4,207 705.05 1,84,509.64
133 0.6078561 1,84,509.64 4,207 691.91 1,80,994.09
134 0.6055851 1,80,994.09 4,207 678.73 1,77,465.36
135 0.6033227 1,77,465.36 4,207 665.50 1,73,923.39
136 0.6010686 1,73,923.39 4,207 652.21 1,70,368.14
137 0.5988231 1,70,368.14 4,207 638.88 1,66,799.56
138 0.5965859 1,66,799.56 4,207 625.50 1,63,217.59
139 0.594357 1,63,217.59 4,207 612.07 1,59,622.19
140 0.5921365 1,59,622.19 4,207 598.58 1,56,013.31
141 0.5899243 1,56,013.31 4,207 585.05 1,52,390.90
142 0.5877203 1,52,390.90 4,207 571.47 1,48,754.90
143 0.5855246 1,48,754.90 4,207 557.83 1,45,105.27
144 0.5833371 1,45,105.27 4,207 544.14 1,41,441.95
145 0.5811578 1,41,441.95 4,207 530.41 1,37,764.90
146 0.5789866 1,37,764.90 4,207 516.62 1,34,074.05
147 0.5768235 1,34,074.05 4,207 502.78 1,30,369.37
148 0.5746685 1,30,369.37 4,207 488.89 1,26,650.79
149 0.5725215 1,26,650.79 4,207 474.94 1,22,918.27
150 0.5703826 1,22,918.27 4,207 460.94 1,19,171.75
151 0.5682516 1,19,171.75 4,207 446.89 1,15,411.18
152 0.5661287 1,15,411.18 4,207 432.79 1,11,636.51
153 0.5640136 1,11,636.51 4,207 418.64 1,07,847.68
154 0.5619065 1,07,847.68 4,207 404.43 1,04,044.65
155 0.5598072 1,04,044.65 4,207 390.17 1,00,227.35
156 0.5577157 1,00,227.35 4,207 375.85 96,395.74
157 0.5556321 96,395.74 4,207 361.48 92,549.76
158 0.5535563 92,549.76 4,207 347.06 88,689.36
159 0.5514882 88,689.36 4,207 332.59 84,814.48
160 0.5494279 84,814.48 4,207 318.05 80,925.07
161 0.5473752 80,925.07 4,207 303.47 77,021.08
162 0.5453302 77,021.08 4,207 288.83 73,102.44
163 0.5432929 73,102.44 4,207 274.13 69,169.12
164 0.5412631 69,169.12 4,207 259.38 65,221.04
165 0.539241 65,221.04 4,207 244.58 61,258.15
166 0.5372264 61,258.15 4,207 229.72 57,280.41
123 0.6310392 2,18,950.83 4,207 821.07 2,15,564.43
124 0.6286816 2,15,564.43 4,207 808.37 2,12,165.33
125 0.6263329 2,12,165.33 4,207 795.62 2,08,753.49
126 0.6239929 2,08,753.49 4,207 782.83 2,05,328.85
127 0.6216617 2,05,328.85 4,207 769.98 2,01,891.37
128 0.6193392 2,01,891.37 4,207 757.09 1,98,441.00
129 0.6170253 1,98,441.00 4,207 744.15 1,94,977.69
130 0.6147201 1,94,977.69 4,207 731.17 1,91,501.39
131 0.6124235 1,91,501.39 4,207 718.13 1,88,012.06
132 0.6101355 1,88,012.06 4,207 705.05 1,84,509.64
133 0.6078561 1,84,509.64 4,207 691.91 1,80,994.09
134 0.6055851 1,80,994.09 4,207 678.73 1,77,465.36
135 0.6033227 1,77,465.36 4,207 665.50 1,73,923.39
136 0.6010686 1,73,923.39 4,207 652.21 1,70,368.14
137 0.5988231 1,70,368.14 4,207 638.88 1,66,799.56
138 0.5965859 1,66,799.56 4,207 625.50 1,63,217.59
139 0.594357 1,63,217.59 4,207 612.07 1,59,622.19
140 0.5921365 1,59,622.19 4,207 598.58 1,56,013.31
141 0.5899243 1,56,013.31 4,207 585.05 1,52,390.90
142 0.5877203 1,52,390.90 4,207 571.47 1,48,754.90
143 0.5855246 1,48,754.90 4,207 557.83 1,45,105.27
144 0.5833371 1,45,105.27 4,207 544.14 1,41,441.95
145 0.5811578 1,41,441.95 4,207 530.41 1,37,764.90
146 0.5789866 1,37,764.90 4,207 516.62 1,34,074.05
147 0.5768235 1,34,074.05 4,207 502.78 1,30,369.37
148 0.5746685 1,30,369.37 4,207 488.89 1,26,650.79
149 0.5725215 1,26,650.79 4,207 474.94 1,22,918.27
150 0.5703826 1,22,918.27 4,207 460.94 1,19,171.75
151 0.5682516 1,19,171.75 4,207 446.89 1,15,411.18
152 0.5661287 1,15,411.18 4,207 432.79 1,11,636.51
153 0.5640136 1,11,636.51 4,207 418.64 1,07,847.68
154 0.5619065 1,07,847.68 4,207 404.43 1,04,044.65
155 0.5598072 1,04,044.65 4,207 390.17 1,00,227.35
156 0.5577157 1,00,227.35 4,207 375.85 96,395.74
157 0.5556321 96,395.74 4,207 361.48 92,549.76
158 0.5535563 92,549.76 4,207 347.06 88,689.36
159 0.5514882 88,689.36 4,207 332.59 84,814.48
160 0.5494279 84,814.48 4,207 318.05 80,925.07
161 0.5473752 80,925.07 4,207 303.47 77,021.08
162 0.5453302 77,021.08 4,207 288.83 73,102.44
163 0.5432929 73,102.44 4,207 274.13 69,169.12
164 0.5412631 69,169.12 4,207 259.38 65,221.04
165 0.539241 65,221.04 4,207 244.58 61,258.15
166 0.5372264 61,258.15 4,207 229.72 57,280.41
Corporate finance 24
167 0.5352193 57,280.41 4,207 214.80 53,287.75
168 0.5332197 53,287.75 4,207 199.83 49,280.11
169 0.5312276 49,280.11 4,207 184.80 45,257.45
170 0.529243 45,257.45 4,207 169.72 41,219.70
171 0.5272657 41,219.70 4,207 154.57 37,166.81
172 0.5252959 37,166.81 4,207 139.38 33,098.72
173 0.5233334 33,098.72 4,207 124.12 29,015.38
174 0.5213782 29,015.38 4,207 108.81 24,916.73
175 0.5194303 24,916.73 4,207 93.44 20,802.70
176 0.5174897 20,802.70 4,207 78.01 16,673.25
177 0.5155564 16,673.25 4,207 62.52 12,528.31
178 0.5136303 12,528.31 4,207 46.98 8,367.83
179 0.5117114 8,367.83 4,207 31.38 4,191.74
180 0.5097996 4,191.74 4,207 15.72 (0.00)
Total 130.72 207343.36
Calcualtion of cash conversion cycle of 2016
Sales
£
4,075
COGS
£
2,234
Inventor
ies
£
5
AR
£
172
AP
£
546
Days/
year 365
Cash conversion
cycle (CCC) =
Inventory
conversion period +
Receivables
collection
period
-
Payables
deferral period
=
Inventory/Sales per
day +
AR/Sales per
day -
AP/COGS per
day
= £ 0.45 +
£
15.41 -
£
48.91
= -£ 33.05
167 0.5352193 57,280.41 4,207 214.80 53,287.75
168 0.5332197 53,287.75 4,207 199.83 49,280.11
169 0.5312276 49,280.11 4,207 184.80 45,257.45
170 0.529243 45,257.45 4,207 169.72 41,219.70
171 0.5272657 41,219.70 4,207 154.57 37,166.81
172 0.5252959 37,166.81 4,207 139.38 33,098.72
173 0.5233334 33,098.72 4,207 124.12 29,015.38
174 0.5213782 29,015.38 4,207 108.81 24,916.73
175 0.5194303 24,916.73 4,207 93.44 20,802.70
176 0.5174897 20,802.70 4,207 78.01 16,673.25
177 0.5155564 16,673.25 4,207 62.52 12,528.31
178 0.5136303 12,528.31 4,207 46.98 8,367.83
179 0.5117114 8,367.83 4,207 31.38 4,191.74
180 0.5097996 4,191.74 4,207 15.72 (0.00)
Total 130.72 207343.36
Calcualtion of cash conversion cycle of 2016
Sales
£
4,075
COGS
£
2,234
Inventor
ies
£
5
AR
£
172
AP
£
546
Days/
year 365
Cash conversion
cycle (CCC) =
Inventory
conversion period +
Receivables
collection
period
-
Payables
deferral period
=
Inventory/Sales per
day +
AR/Sales per
day -
AP/COGS per
day
= £ 0.45 +
£
15.41 -
£
48.91
= -£ 33.05
Corporate finance 25
Calcualtion of cash conversion cycle of 2015
Sales
£
5,030
COGS
£
3,073
Inventor
ies
£
19
AR
£
93
AP
£
813
Days/
year 365
Cash conversion
cycle (CCC) =
Inventory
conversion period +
Receivables
collection
period
-
Payables
deferral period
=
Inventory/Sales per
day +
AR/Sales per
day -
AP/COGS per
day
= £ 1.38 +
£
6.75 -
£
59.00
= -£ 50.87
Position of the company
Bond-1
Face value $ 1,000.00
Coupon 3.65%
Maturity 10
Yeild (Half yearly) 3.10%
Price of bond
Bond-1
Face value 1,000
Coupon (half yearly) 1.83%
Maturity 10
Maturity (half yearly) 5
Yeild (half yearly) 1.55%
Calcualtion of cash conversion cycle of 2015
Sales
£
5,030
COGS
£
3,073
Inventor
ies
£
19
AR
£
93
AP
£
813
Days/
year 365
Cash conversion
cycle (CCC) =
Inventory
conversion period +
Receivables
collection
period
-
Payables
deferral period
=
Inventory/Sales per
day +
AR/Sales per
day -
AP/COGS per
day
= £ 1.38 +
£
6.75 -
£
59.00
= -£ 50.87
Position of the company
Bond-1
Face value $ 1,000.00
Coupon 3.65%
Maturity 10
Yeild (Half yearly) 3.10%
Price of bond
Bond-1
Face value 1,000
Coupon (half yearly) 1.83%
Maturity 10
Maturity (half yearly) 5
Yeild (half yearly) 1.55%
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Corporate finance 26
Valuation of bond 913.61
PV(D17,D19,D20,D16,0)
Calculation of Interest coverage ratio
Interest coverage ratio EBIT/Interest Expenses
2016 23.92857143
2015 4
Required rate of return
Risk free rate 2.50%
Expected rate of return on market
portfolio 9.07%
systemtatic risk of common stock 1.37
Required rate of return 11.50%
calculations:
r= R(f)+ beta{E(R(m)-R(f)}
Dividend Discount Model
Dividend expected 83
Growth rate 3%
Discount rate 11.50%
Intrisic Value 922
Share Price 34.53
Undervalued
Projet A
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
15750000
0
Revenues
9836800
00
9836800
00
9836800
00
9836800
00
9836800
00
Expenses
4918400
00
4918400
00
4918400
00
4918400
00
4918400
00
Expenses
1670000
00
1670000
00
1670000
00
1670000
00
1670000
00
EBDT
3248400
00
3248400
00
3248400
00
3248400
00
3248400
00
Less: Depreciation 2000000 2000000 2000000 2000000 2000000
Valuation of bond 913.61
PV(D17,D19,D20,D16,0)
Calculation of Interest coverage ratio
Interest coverage ratio EBIT/Interest Expenses
2016 23.92857143
2015 4
Required rate of return
Risk free rate 2.50%
Expected rate of return on market
portfolio 9.07%
systemtatic risk of common stock 1.37
Required rate of return 11.50%
calculations:
r= R(f)+ beta{E(R(m)-R(f)}
Dividend Discount Model
Dividend expected 83
Growth rate 3%
Discount rate 11.50%
Intrisic Value 922
Share Price 34.53
Undervalued
Projet A
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
15750000
0
Revenues
9836800
00
9836800
00
9836800
00
9836800
00
9836800
00
Expenses
4918400
00
4918400
00
4918400
00
4918400
00
4918400
00
Expenses
1670000
00
1670000
00
1670000
00
1670000
00
1670000
00
EBDT
3248400
00
3248400
00
3248400
00
3248400
00
3248400
00
Less: Depreciation 2000000 2000000 2000000 2000000 2000000
Corporate finance 27
00 00 00 00 00
EBT
1248400
00
1248400
00
1248400
00
1248400
00
1248400
00
Less: Taxes
3745200
0
3745200
0
3745200
0
3745200
0
3745200
0
EAT
8738800
0
8738800
0
8738800
0
8738800
0
8738800
0
ADD: Depreciaation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
14369400
00
2873880
00
2873880
00
2873880
00
2873880
00
2873880
00
Changes in Working
capital 400000 400000
Total cash flow
-
12794400
00
2877880
00
Projet B
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
13750000
0
Revenues
1168120
000
1168120
000
1168120
000
1168120
000
1168120
000
Expenses
5256540
00
5256540
00
5256540
00
5256540
00
5256540
00
Expenses
1252500
00
1252500
00
1252500
00
1252500
00
1252500
00
EBDT
5172160
00
5172160
00
5172160
00
5172160
00
5172160
00
Less: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
EBT
3172160
00
3172160
00
3172160
00
3172160
00
3172160
00
Less: Taxes
9516480
0
9516480
0
9516480
0
9516480
0
9516480
0
EAT
2220512
00
2220512
00
2220512
00
2220512
00
2220512
00
ADD: Depreciaation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
21102560
00
4220512
00
4220512
00
4220512
00
4220512
00
4220512
00
Changes in Working
capital 400000 400000
Total cash flow
-
19727560
00
4224512
00
00 00 00 00 00
EBT
1248400
00
1248400
00
1248400
00
1248400
00
1248400
00
Less: Taxes
3745200
0
3745200
0
3745200
0
3745200
0
3745200
0
EAT
8738800
0
8738800
0
8738800
0
8738800
0
8738800
0
ADD: Depreciaation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
14369400
00
2873880
00
2873880
00
2873880
00
2873880
00
2873880
00
Changes in Working
capital 400000 400000
Total cash flow
-
12794400
00
2877880
00
Projet B
Year 1 Year 2 Year 3 Year 4 Year 5
Initial Outlay
13750000
0
Revenues
1168120
000
1168120
000
1168120
000
1168120
000
1168120
000
Expenses
5256540
00
5256540
00
5256540
00
5256540
00
5256540
00
Expenses
1252500
00
1252500
00
1252500
00
1252500
00
1252500
00
EBDT
5172160
00
5172160
00
5172160
00
5172160
00
5172160
00
Less: Depreciation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
EBT
3172160
00
3172160
00
3172160
00
3172160
00
3172160
00
Less: Taxes
9516480
0
9516480
0
9516480
0
9516480
0
9516480
0
EAT
2220512
00
2220512
00
2220512
00
2220512
00
2220512
00
ADD: Depreciaation
2000000
00
2000000
00
2000000
00
2000000
00
2000000
00
cash flow
21102560
00
4220512
00
4220512
00
4220512
00
4220512
00
4220512
00
Changes in Working
capital 400000 400000
Total cash flow
-
19727560
00
4224512
00
Corporate finance 28
Calculation of Discounted PayBack Period (Project A)
Yea
rs
Cash
Outflow
Cash
Inflow
Factor
s
P.V. ofCash
Inflow
P.V. of Cash
Outflow P.V. C.F
0
15,75,00,
000 1 0 157500000
-
1575000
00
-
1575000
00
1
65,88,40,
000
98,36,80,0
00
0.8928
57 878285714.3 588250000
2900357
14.3
1325357
14.3
2
65,88,40,
000
98,36,80,0
00
0.7971
94 784183673.5 525223214.3
2589604
59.2
3914961
73.5
3
65,88,40,
000
98,36,80,0
00
0.7117
8 700163994.2 468949298.5
2312146
95.7
6227108
69.2
4
65,88,40,
000
98,36,80,0
00
0.6355
18 625146423.4 418704730.8
2064416
92.6
8291525
61.8
5
65,88,40,
000
98,36,80,0
00
0.5674
27 558166449.4 373843509.6
1843229
39.8
1013475
502
NPV= Total Cash Inflow-Total cash
outflow
0.543036
572
Calculation of Discounted PayBack Period (Project B)
Yea
rs
Cash
Outflow
Cash
Inflow
Factor
s
P.V. ofCash
Inflow
P.V. of Cash
Outflow P.V. C.F
0
13,75,00,
000 1 0 137500000
-
1375000
00
-
1375000
00
1
65,09,04,
000
1,16,81,20,
000
0.8928
57 1042964286 581164285.7
4618000
00
3243000
00
2
65,09,04,
000
1,16,81,20,
000
0.7971
94 931218112.2 518896683.7
4123214
28.6
7366214
28.6
3
65,09,04,
000
1,16,81,20,
000
0.7117
8 831444743.1 463300610.4
3681441
32.7
1104765
561
4
65,09,04,
000
1,16,81,20,
000
0.6355
18 742361377.7 413661259.3
3287001
18.4
1433465
680
5
65,09,04,
000
1,16,81,20,
000
0.5674
27 662822658.7 369340410.1
2934822
48.6
1726947
928
4210811177 2483863249
NPV= Total Cash Inflow-Total cash
outflow 1726947928
0.297747
943
Calculation of Net Present Value (Project A)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 15,75,00,000 1 0 157500000
1 658840000 983680000 0.89286 878285714.3 588250000
2 658840000 983680000 0.79719 784183673.5 525223214.3
3 658840000 983680000 0.71178 700163994.2 468949298.5
Calculation of Discounted PayBack Period (Project A)
Yea
rs
Cash
Outflow
Cash
Inflow
Factor
s
P.V. ofCash
Inflow
P.V. of Cash
Outflow P.V. C.F
0
15,75,00,
000 1 0 157500000
-
1575000
00
-
1575000
00
1
65,88,40,
000
98,36,80,0
00
0.8928
57 878285714.3 588250000
2900357
14.3
1325357
14.3
2
65,88,40,
000
98,36,80,0
00
0.7971
94 784183673.5 525223214.3
2589604
59.2
3914961
73.5
3
65,88,40,
000
98,36,80,0
00
0.7117
8 700163994.2 468949298.5
2312146
95.7
6227108
69.2
4
65,88,40,
000
98,36,80,0
00
0.6355
18 625146423.4 418704730.8
2064416
92.6
8291525
61.8
5
65,88,40,
000
98,36,80,0
00
0.5674
27 558166449.4 373843509.6
1843229
39.8
1013475
502
NPV= Total Cash Inflow-Total cash
outflow
0.543036
572
Calculation of Discounted PayBack Period (Project B)
Yea
rs
Cash
Outflow
Cash
Inflow
Factor
s
P.V. ofCash
Inflow
P.V. of Cash
Outflow P.V. C.F
0
13,75,00,
000 1 0 137500000
-
1375000
00
-
1375000
00
1
65,09,04,
000
1,16,81,20,
000
0.8928
57 1042964286 581164285.7
4618000
00
3243000
00
2
65,09,04,
000
1,16,81,20,
000
0.7971
94 931218112.2 518896683.7
4123214
28.6
7366214
28.6
3
65,09,04,
000
1,16,81,20,
000
0.7117
8 831444743.1 463300610.4
3681441
32.7
1104765
561
4
65,09,04,
000
1,16,81,20,
000
0.6355
18 742361377.7 413661259.3
3287001
18.4
1433465
680
5
65,09,04,
000
1,16,81,20,
000
0.5674
27 662822658.7 369340410.1
2934822
48.6
1726947
928
4210811177 2483863249
NPV= Total Cash Inflow-Total cash
outflow 1726947928
0.297747
943
Calculation of Net Present Value (Project A)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 15,75,00,000 1 0 157500000
1 658840000 983680000 0.89286 878285714.3 588250000
2 658840000 983680000 0.79719 784183673.5 525223214.3
3 658840000 983680000 0.71178 700163994.2 468949298.5
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Corporate finance 29
4 658840000 983680000 0.63552 625146423.4 418704730.8
5 658840000 983680000 0.56743 558166449.4 373843509.6
3545946255 2532470753
NPV= Total Cash Inflow-Total cash outflow 1013475502
Calculation of Net Present Value (Project B)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 13,75,00,000 1 0 137500000
1 650904000 1168120000 0.89286 1042964286 581164285.7
2 650904000 1168120000 0.79719 931218112.2 518896683.7
3 650904000 1168120000 0.71178 831444743.1 463300610.4
4 650904000 1168120000 0.63552 742361377.7 413661259.3
5 650904000 1168120000 0.56743 662822658.7 369340410.1
4210811177 2483863249
NPV= Total Cash Inflow-Total cash outflow 1726947928
Calculation of Net Present Value (Project A)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 15,75,00,000 1 0 157500000
1 658840000 983680000 0.8 786944000 527072000
2 658840000 983680000 0.64 629555200 421657600
3 658840000 983680000 0.512 503644160 337326080
4 658840000 983680000 0.4096 402915328 269860864
5 658840000 983680000 0.32768 322332262.4 215888691
2645390950 1929305235
NPV= Total Cash Inflow-Total cash outflow 716085715.2
Calculation of Net Present Value (Project B)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 13,75,00,000 1 0 137500000
1 650904000 1168120000 0.8 934496000 520723200
2 650904000 1168120000 0.64 747596800 416578560
3 650904000 1168120000 0.512 598077440 333262848
4 650904000 1168120000 0.4096 478461952 266610278
5 650904000 1168120000 0.32768 382769561.6 213288223
3141401754 1887963109
NPV= Total Cash Inflow-Total cash outflow 1253438644
4 658840000 983680000 0.63552 625146423.4 418704730.8
5 658840000 983680000 0.56743 558166449.4 373843509.6
3545946255 2532470753
NPV= Total Cash Inflow-Total cash outflow 1013475502
Calculation of Net Present Value (Project B)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 13,75,00,000 1 0 137500000
1 650904000 1168120000 0.89286 1042964286 581164285.7
2 650904000 1168120000 0.79719 931218112.2 518896683.7
3 650904000 1168120000 0.71178 831444743.1 463300610.4
4 650904000 1168120000 0.63552 742361377.7 413661259.3
5 650904000 1168120000 0.56743 662822658.7 369340410.1
4210811177 2483863249
NPV= Total Cash Inflow-Total cash outflow 1726947928
Calculation of Net Present Value (Project A)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 15,75,00,000 1 0 157500000
1 658840000 983680000 0.8 786944000 527072000
2 658840000 983680000 0.64 629555200 421657600
3 658840000 983680000 0.512 503644160 337326080
4 658840000 983680000 0.4096 402915328 269860864
5 658840000 983680000 0.32768 322332262.4 215888691
2645390950 1929305235
NPV= Total Cash Inflow-Total cash outflow 716085715.2
Calculation of Net Present Value (Project B)
Years
Cash
Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 13,75,00,000 1 0 137500000
1 650904000 1168120000 0.8 934496000 520723200
2 650904000 1168120000 0.64 747596800 416578560
3 650904000 1168120000 0.512 598077440 333262848
4 650904000 1168120000 0.4096 478461952 266610278
5 650904000 1168120000 0.32768 382769561.6 213288223
3141401754 1887963109
NPV= Total Cash Inflow-Total cash outflow 1253438644
Corporate finance 30
Calculation Of IRR
Years Cash Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 15,75,00,000 1 0 157500000
1 65,88,40,000 98,36,80,000 0.89286 878285714.3 588250000
2 65,88,40,000 98,36,80,000 0.79719 784183673.5 525223214.3
3 65,88,40,000 98,36,80,000 0.71178 700163994.2 468949298.5
4 65,88,40,000 98,36,80,000 0.63552 625146423.4 418704730.8
5 65,88,40,000 98,36,80,000 0.56743 558166449.4 373843509.6
3545946255 2532470753
IRR 10.2333708
Years Cash Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 13,75,00,000 1 0 137500000
1 650904000 1168120000 0.89286 1042964286 581164285.7
2 650904000 1168120000 0.79719 931218112.2 518896683.7
3 650904000 1168120000 0.71178 831444743.1 463300610.4
4 650904000 1168120000 0.63552 742361377.7 413661259.3
5 650904000 1168120000 0.56743 662822658.7 369340410.1
4210811177 2483863249
IRR 10.282371
Calculation Of IRR
Years Cash Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 15,75,00,000 1 0 157500000
1 65,88,40,000 98,36,80,000 0.89286 878285714.3 588250000
2 65,88,40,000 98,36,80,000 0.79719 784183673.5 525223214.3
3 65,88,40,000 98,36,80,000 0.71178 700163994.2 468949298.5
4 65,88,40,000 98,36,80,000 0.63552 625146423.4 418704730.8
5 65,88,40,000 98,36,80,000 0.56743 558166449.4 373843509.6
3545946255 2532470753
IRR 10.2333708
Years Cash Outflow Cash Inflow Factors
P.V. ofCash
Inflow
P.V. of Cash
Outflow
0 13,75,00,000 1 0 137500000
1 650904000 1168120000 0.89286 1042964286 581164285.7
2 650904000 1168120000 0.79719 931218112.2 518896683.7
3 650904000 1168120000 0.71178 831444743.1 463300610.4
4 650904000 1168120000 0.63552 742361377.7 413661259.3
5 650904000 1168120000 0.56743 662822658.7 369340410.1
4210811177 2483863249
IRR 10.282371
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