Analysis of Data in Excel (Coursework Sample)

Show all work/calculations in the most simplest for no excel please
Web-surfing exercise: Find a fast-growth publicly traded firm with financial statements posted on the firm’s Web page. Relate that firm’s financial statements to those of the examples in this chapter.
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Formulate the process by which you would project that firm’s financial statements into the future in order to conduct a valuation.
2. Using a free stock quoting and research site on the Web (e.g., or http://money.cnn.com), examine the current price for an Internet company. Relate the financial data you can find on the firm to the current stock price.
Chapter 9: Exercises/Problems: # 2 p. 344
2.
[Venture Present Values] The TecOne Corporation is about to begin producing and selling its prototype product. Annual cash flows for the next five years are forecasted as:
A. Assume annual cash flows are expected to remain at the $800,000 level after Year 5 (i.e., Year 6 and thereafter). If TecOne investors want a 40 percent rate of return on their investment, calculate the venture’s present value.
B. Now assume that the Year 6 cash flows are forecasted to be $900,000 in the stepping-stone year and are expected to grow at an 8 percent compound annual rate thereafter. Assuming that the investors still want a 40 percent rate of return on their investment, calculate the venture’s present value.
C. Now extend Part B one step further. Assume that the required rate of return on the investment will drop from 40 percent to 20 percent beginning in Year 6 to reflect a drop in operating or business risk. Calculate the venture’s present value.
D. Let’s assume that TecOne investors have valued the venture as requested in Part C. An outside investor wants to invest $3 million in TecOne now (at the end of Year 0). What percentage of ownership in the venture should the TecOne investors give up to the outside investor for a $3 million new investment?
Chapter 9: Softec Mini Case: p. 348 A- F only
MINI CASE: SoftTec Products company
The SoftTec Products Company is a successful, small, rapidly growing, closely held corporation. The equity owners are considering selling the firm to an outside buyer and want to estimate the value of the firm. Following is last year’s income statement (2010) and projected income statements for the next four years (2011–2014). Sales are expected to grow at an annual 7 percent rate beginning in 2015 and continuing thereafter.
 

ACTUAL

PROJECTED

[$ THOUSANDS]

2010        

2011

2012

2013

2014

Net sales

$150.0     

$200.0

$250.0

$300.0

$350.0

Cost of goods sold

 ‒75.0     

‒100.0

‒125.0

‒150.0

‒175.0

Gross profit

75.0     

100.0

125.0

150.0

175.0

SG&A expenses

 ‒30.0     

 ‒40.0

 ‒50.0

 ‒60.0

 ‒70.0

Depreciation

‒7.5     

‒10.0

‒12.5

‒15.0

‒17.5

Earnings before interest and taxes

  37.5     

  50.0

  62.5

  75.0

  87.5

Interest

‒3.5     

‒3.5

‒3.5

‒3.5

‒3.5

Earnings before taxes

  34.0     

  46.5

  59.0

  71.5

  84.0

Taxes (40% rate)

 ‒13.6    Â&nb...