• Author / Uploaded
• Prasoon Swaroop Jha

Citation preview

Zeta mining case Year Engagement fee Induction expense From selling Labor wage Supervisor wage Flat fees Gross Cash flow Tax shield Net cash flow

0 -750000

-5475000 -6225000

Operate on your own Year Realocation cost Road adj Maint Salary Fuel Tax shield Net cash flow

0 -10000000 -1100000

3330000 -7770000

NPV

1 -1000000 9500000 -6000000 -1080000 -1062000 358000 2742600 3100600

2

3

4

-250000 9500000 -6400000 -1140000 -1131000 829000 2601300 3430300

5 -250000

-7650000 -1200000 -1327500 -1E+007 3128250 -7299250

-8100000 -1365000 -1419750 -1E+007 3265425 -7619325

-9500000 -1650000 -1672500 -1E+007 3921750 -9150750

3

4

5

($11,249,639.78) ($17,474,639.78)

NPV

1

-300000 -260000 -2000000 768000 -1792000 ($8,289,167.75) ($16,059,167.75)

2

-300000 -450000 -300000 -300000 -286000 -314600 -346060 -380666 -2200000 -2420000 -2662000 -2928200 835800 955380 992418 1082660 -1950200 -2229220 -2315642 -2526206