Hello, can I please have your expertise on this assignment for my corporate finance course? I've attached the files. Question numbers: one and three can be done in excel with the formulas. Thank you very much.

Company Background

New Century Coffee (NCC) Company is a 124-store coffee retailer headquartered in Stockton and operating throughout 6 western states. Its stores are known for their stylish and artistic atmosphere, quick and friendly service, and social consciousness. One glaring, but intentional, omission from each location is a drive-through service channel. The company's model is to establish locations that serve as a gathering place for customers, as opposed to more traditional quick-service models that focus on volume and efficiency. Although NCC does not want to alter its traditional storefront appeal (nor does it want the expense of adding drive-throughs) it does want to add additional revenue streams by reaching new customers and servicing existing customers more frequently. To accomplish this, NCC is considering acquisition options to diversify its service channel. One opportunity that is under consideration was initiated by Portable Coffee Express CEO Marcy Chapman. Ms. Chapman founded and has grown Portable, a privately held company, into a flourishing 358 location drive-through and walk-up coffee stand business. Portable has a strong presence in NCC's three largest states (by location), but no presence in the other three states NCC operates in. However, Portable has many locations in large cities across the country, including New York, Chicago, Boston, Washington D.C., and Philadelphia.

Sign Ir X SPC FINAN X src Acade X 5 FIN44 X Q Log in X Q Learni X Log In X * Log In X SPC Financ DO Mathv X sic SPC St x Sign ir X AOL AOL - X Solvec X + C O File | C:/Users/Starleana91/Downloads/FIN4414%20Case%202%20instructions%20NCC-Portable.pdf G ili Apps HCC HawkNet - Hillsbor. y Yahoo - login YouTube f Facebook - Log In O... 4% Domino's Home Pa.. Fox Full Episodes | Empi... O Target : Expect Mor.. Ink Cartridges - Pri. Wet Seal | Clothing,. Reading list FIN4414 Case 2 instructions NCC-Portable 1 / 3 200% + To determine the viability of an acquisition of Portable Coffee Express by New Century Coffee Company, Ms. Chapman has provided recent financials for her company to NCC CFO Marisa Garcia. Mrs. Garcia has run cash flow forecasts for the consolidated company and estimated incremental cash inflows after taxes from the acquisition over the next 30 years (the relevant time horizon for the analysis). The pertinent financial data is included in the tables below. Table 1: Estimated Incremental Cash Flows over 30 years for combined company Table 2: Portable Coffee Express Earnings Year 1 $ 19,400,000 Year EPS Year EPS Year 2 $ 19,100,000 2011 $ 1.85 2015 $ 2.95 Year 3 $ 20,100,000 2012 $ 2.00 2016 $ 3.25 Year 4 $ 22,550,000 2013 $ 2.20 2017 $ 3.45 Year 5 $ 27,100,000 2014 $ 2.65 2018 $ 3.70 Year 6 - 30 $ 28,200,000 (per yr.) 3 Type here to search a DI 9 X a w 8:45 AM 4/28/2021Sign Ir X SPC FINAN X sr Acade X 5 FIN44 X Q Log in X Q Learni X Log In X * Log In X SPC Financ DO Mathv X sic SPC St x Sign ir X AOL AOL - X Solvec X + C O File | C:/Users/Starleana91/Downloads/FIN4414%20Case%202%20instructions%20NCC-Portable.pdf G ili Apps HCC HawkNet - Hillsbor. y Yahoo - login YouTube f Facebook - Log In o.. 4 Domino's Home Pa.. Fox Full Episodes | Empi... O Target : Expect Mor.. Ink Cartridges - Pri.. Wet Seal | Clothing,.. Reading list FIN4414 Case 2 instructions NCC-Portable 2 / 3 200% Table 3: Portable Coffee Express Balance Sheet (December 31, 2018) Assets Liabilities & Equity Cash $ 3,000,000 Current liabilities $ 3,600,000 Accounts Receivable 2,000,000 Mortgages payable 5,900,000 Inventory 7,000,000 Common stock 14,800,000 Land 7,250,000 Retained Earnings 9,700,000 Fixed assets (net) 14,750,000 Total Liabilities & Equity $ 34,000,000 Total Assets $ 34,000,000 2 Table 4: NCC and Portable additional data (December 31, 2018) Item NCC Portable Earnings available for $29,000,000 $12,580,000 common stock Number of shares of 7,000,000 3,400,000 3 Common stock Market price per share $ 43.30 $ 19* (*Estimated by NCC) Type here to search a DI X Ca a w 8:46 AM 9 4/28/2021