Financial analyst in financial planning-analysis department

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Pakco Corp. is a manufacturer of travel bags. It is evaluating entering into the manufacture of a new line of backpacks. This will require the investment in a new manufacturing machine and hiring additional employees. You are a financial analyst in the Financial Planning & Analysis Department. The product development team has supplied you with the below growth rates and margins and it expects year 1 revenues to be $10,000.0 thousand. You are to complete an analysis to determine the net present value and internal rate of return on the project. You are also to complete the below data table for different levels of COGS % and required rates of return as outlined. As shown to the left the cost of the machine is $15,500 thousand, Tax rate is 25% and the required rate of return is 12%.

Attachment:- Assignment -CAPITAL PROJECT ANALYSIS.rar

Reference no: EM132429192

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