Appendix Q$2\mathrm{.}1$

Evaluate the proposal to move the manufacturing facility from China to India $($Q$2\mathrm{.}1)$ using NPV analysis. The evaluation should include a review of the assumptions made that need to be factored into the decision$-$making process. Note: round the values to the nearest million dollars.

Q$2\mathrm{.}1$: Analysis of the Child Toy Manufacturing $($Multi$-$Currency$)$

China

$$m

$2021$ China

$$m

$2022$ China

$$m

$2023$ UK

$$m

$2021$ UK

$$m

$2022$ UK

$$m

$2023$ Total

$$m

$2021$ Total

$$m

$2022$ Total

$$m

$2023$

Product Sold $($units$)8,500,0007,950,0004,350,0006,700,0005,500,0005,100,00012,850,00014,650,0009,850,000$

Turnover $2,1782,4042,113239200175596582500$

Cost of Sales $1,0131,1611,0881129589278279256$

Admin Expenses $370481454413938102115108$

Selling & Distribution Expenses $32043342333353585104100$

Operating Profit $4753291485331131318436$

Interest $00067106710$

Income Tax Expense $00013831383$

Profit After Tax $475329148341601126923$