The company or case study is Under Armour-- projected financial statements need to be provided in a
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Question:
- The company or case study is Under Armour-- projected financial statements need to be provided in a chart/excel
- Pro-Forma Financial Statements (I/S, B/S and Statement of Cash Flows) with deltas out 3 years and analysis (based on current financial statements)
- Each year must have 2 columns: 1 with your strategy and 1 without your strategy. The strategy will help increase profitability, so will cost more in the first year to implement the changes, probably break even the second, and see profits in the third year. The columns that do NOT incorporate the strategy will see continued losses based on current financial statements
- Net Present Value analysis of proposed strategy's new cash flow and EPS/EBIT analysis - you may use Excel to calculate these.
- NOTE: To construct the first cash flow (cf1) at the very minimum, the new revenue from your strategy(s) must be discounted back to the present value by calculating EBIT and that figure will be your cfn for each year. cf0 (initial cost of your strategy), cf1 (discounted cash flow first year), r (opportunity cost of capital, the rate of the next best alternative use of cash/debt/equity resources).
- NPV=-cf0+ cf11+r1+cf21+r2+cf31+r3...cfn1+rn
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