Goal Kick Sports (GKS) is a retail chain that sells youth and
adult soccer equipment. The GKS financial planning group has
developed a spreadsheet model to calculate the net discounted cash
flow of the first five years of operations for a new store. This
model is used to assess new locations under consideration for
expansion.
Use Scenario Manager to generate a Scenario Summary report that
gives Total Discounted Cash Flow for the following scenarios.
What is the range of values for the Total Discounted Cash Flow
(in dollars) for these scenarios? (Round your answer to the nearest
dollar.)
$________________
- Goal Kick Sports Gks Is A Retail Chain That Sells Youth And Adult Soccer Equipment The Gks Financial Planning Group H 1 (207.24 KiB) Viewed 62 times
B с D E F G 1 Goal Kick Sports New Store Financial Model 2 Parameters 3 4 Store Size (square feet) 5 Total Fixed Assets 6 Straight Line Depreciation period 7 Discount Rate 8 Tax Rate 9 Inflation Rate 10 Cost of Merchandise % of sales) 11 12 First Year Sales Revenue 13 Annual Growth Rate of Sales 7,500 $ 280,000 5 10% 33% 2% 28% $ 950,000 15% 14 15 Operating Expenses 16 17 Rent Per Square Foot $ 30 Labor Cost $ 150,000 Other Expenses $ 235,000 18 19 20 Model 21 Year Sales Revenue 1 $950,000 2 3 4 $1,092,500 $1,256,375 $1,444,831 5 $1,661,556 22 23 24 25 Cost of Merchandise Labor Cost Rent Other Expenses $266,000 $150,000 $225,000 $235,000 $305,900 $153,000 $229,500 $239,700 $351,785 $156,060 $234,090 $244,494 $404,553 $159,181 $238,772 $249,384 $465,236 $162,365 $243,547 $254,372 26 27 28 29 Net Operating Income Depreciation Expense $ 74,000 $56,000 $164,400 $56,000 $269,946 $56,000 $392,942 $56,000 $536,037 $56,000 30 31 32 Net Income Before Tax Income Tax $18,000 $5,940 $ 108,400 $35,772 $213,946 $70,602 $336,942 $111,191 $480,037 $ 158,412 33 34 35 Net After Tax Income Plus Depreciation Expense Annual Cash Flow $12,060 $56,000 $68,060 $72,628 $56,000 $128,628 $143,344 $56,000 $199,344 $225,751 $56,000 $281,751 $321,625 $56,000 $377,625 36 37 38 39 40 Discounted Cash Flow $61,873 $106,304 $149,770 $192,440 $234,475 41 Total Discounted Cash Flow $744,862 42 43