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    Ipm T14 Ha-Dinh S3 Q1

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    Ha Thu Đinh
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    Ipm T14 Ha-Dinh S3 Q1

    Uploaded by

    Ha Thu Đinh
    8 views10 pages
    G

    Original Title

    IPM_T14_HA-DINH_S3_Q1

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    Copyright:

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    Download as xlsx, pdf, or txt
    8 views10 pages

    Ipm T14 Ha-Dinh S3 Q1

    Uploaded by

    Ha Thu Đinh
    G

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
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    Investment analysis

    Assumptions
    Cash flow

    Year 0 1 2 3
    Project 1 -350 50 100 140
    Project 2 -250 125 100 75

    NPV
    Interest rate 9%
    Discount rate 50 12%
    Project 1 12.12%
    Project 2 17.07%

    Column1 0 1 2 3
    12% Project 1 -350 45 80 99
    Project 2 -250 107 73 44
    Year Beginning Interest payment End Balance

    1 50.00 4.50 54.50


    2 54.50 4.91 59.41
    3 59.41 5.35 64.75
    4 64.75 5.83 70.58

    Market interest rate development


    Step 1%
    T cash Profit
    4 amount Margin
    200 150 43%
    50 100 40%

    If do not take into account the time value of money, the better one is

    4 Column2 Column3 IRR Project 2


    127 0 0% 12.12%
    27 0 0% 17.07% IRR
    => the discount rate that make project

    Market interest rate development


    Step 1%

    r project 1 Project 2 Better Selection Refine decision


    4% $85.95 $67.62 project 1 85.952873 project 1
    5% $73.80 $61.35 project 1 73.799754 project 1
    6% $62.13 $55.30 project 1 62.134888 project 1
    7% $50.93 $49.45 project 1 50.93359 project 1
    8% $40.17 $43.79 Project 2 43.794372 Project 2
    9% $29.83 $38.32 Project 2 38.321003 Project 2
    10% $19.89 $33.02 Project 2 33.023701 Project 2
    11% $10.32 $27.89 Project 2 27.894801 Project 2
    12% $1.12 $22.93 Project 2 22.927052 Project 2
    13% ($7.75) $18.11 Project 2 18.113585 Project 2
    14% ($16.28) $13.45 Project 2 13.447896 Project 2
    15% ($24.50) $8.92 Project 2 8.9238175 Project 2
    16% ($32.43) $4.54 Project 2 4.5355029 Project 2
    17% ($40.07) $0.28 Project 2 0.2774033 Project 2
    18% ($47.44) ($3.86) Project 2 -3.8557488 Reject both
    19% ($54.55) ($7.87) Project 2 -7.8689567 Reject both
    20% ($61.42) ($11.77) Project 2 -11.766975 Reject both
    better one is Project 1

    At what discount rate, the NPV of project=0


    t rate that make project have no profit

    Mannunaly Automated decision


    1,2, but prefer 1 can take both but preferproject 1
    1,2, but prefer 1 can take both but preferproject 1
    1,2, but prefer 1 can take both but preferproject 1
    1,2, but prefer 1 can take both but preferproject 1
    1,2, but prefer 2 can take both but preferProject 2
    1,2, but prefer 2 can take both but preferProject 2
    1,2, but prefer 2 can take both but preferProject 2
    1,2, but prefer 2 can take both but preferProject 2
    1,2, but prefer 2 can take both but preferProject 2
    Only 2 only takeProject 2
    Only 2 only takeProject 2
    Only 2 only takeProject 2
    Only 2 only takeProject 2
    Only 2 only takeProject 2
    Neither one Reject both
    Neither one Reject both
    Neither one Reject both
    3 4 Sum=NPVProfit Margin
    140 200 27 8%
    75 50 37 15%

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