Net Cash Flow

Y0

10

Totals

Net Capital Costs

Capital Project Name

(8,000,000) $

(8,000,000)

Total Capital

(8,000,000) $

(8,000,000)

$
$
$
$

(750,000)
(250,000)
(20,000)
(1,020,000)

$
$
$
$

(750,000)
(250,000)
(40,400)
(1,040,400)

$
$
$
$

(750,000)
(250,000)
(61,208)
(1,061,208)

$
$
$
$

(750,000)
(250,000)
(82,432)
(1,082,432)

$
$
$
$

(750,000)
(250,000)
(104,081)
(1,104,081)

$
$
$
$

(750,000)
(250,000)
(126,162)
(1,126,162)

$
$
$
$

(750,000)
(250,000)
(148,686)
(1,148,686)

$
$
$
$

(750,000)
(250,000)
(171,659)
(1,171,659)

$
$
$
$

(750,000)
(250,000)
(195,093)
(1,195,093)

$
$
$
$

(750,000)
(250,000)
(218,994)
(1,218,994)

$
$
$
$

(7,500,000)
(2,500,000)
(1,168,715)
(11,168,715)

$
$
$
$
$

250,000
1,500,000
750,000
55,000
2,555,000

$
$
$
$
$

250,000
1,500,000
750,000
111,210
2,611,210

$
$
$
$
$

250,000
1,500,000
750,000
168,657
2,668,657

$
$
$
$
$

250,000
1,500,000
750,000
227,367
2,727,367

$
$
$
$
$

250,000
1,500,000
750,000
287,369
2,787,369

$
$
$
$
$

250,000
1,500,000
750,000
348,691
2,848,691

$
$
$
$
$

250,000
1,500,000
750,000
411,362
2,911,362

$
$
$
$
$

250,000
1,500,000
750,000
475,412
2,975,412

$
$
$
$
$

250,000
1,500,000
750,000
540,872
3,040,872

$
$
$
$
$

250,000
1,500,000
750,000
607,771
3,107,771

$
$
$
$
$

2,500,000
15,000,000
7,500,000
3,233,711
28,233,711

1,535,000

1,570,810

1,607,449

1,644,935

1,683,288

1,722,529

1,762,677

1,803,753

1,845,779

1,888,776

9,064,996

(1,600,000)
(1,020,000)
2,555,000
26,000

$
$
$
$

(2,560,000)
(1,040,400)
2,611,210
395,676

$
$
$
$

(1,536,000)
(1,061,208)
2,668,657
(28,579)

$
$
$
$

(921,600)
(1,082,432)
2,727,367
(289,334)

$
$
$
$

(921,600)
(1,104,081)
2,787,369
(304,675)

$
$
$
$

(460,800)
(1,126,162)
2,848,691
(504,692)

$
$
$
$

(1,148,686)
2,911,362
(705,071)

$
$
$
$

(1,171,659)
2,975,412
(721,501)

$
$
$
$

(1,195,093)
3,040,872
(738,312)

$
$
$
$

(1,218,994)
3,107,771
(755,511)

$
$
$
$

(8,000,000)
(11,168,715)
28,233,711
(3,625,998)

Operating and Maintenance Costs

Cost 1
Cost 2
Escalation of Costs
Total Costs
Revenue and Operating Benefits
New Revenue
Benefit 1
Benefit 2
Escalation of Benefits
Total Benefits and Revenue

Cash Flow Before Taxes

(8,000,000) $

Income Tax Calculation

Depreciation Expense
Operating Cost
Operating Benefits
Net Income Taxes

$
$
$
$

Cash Flow After Taxes

(8,000,000) $

1,561,000

1,966,486

1,578,869

1,355,601

1,378,613

1,217,837

1,057,606

1,082,252

1,107,467

1,133,266

5,438,997

Discounted Cash Flow (After Tax)

(8,000,000) $

1,445,370

1,685,945

1,253,357

996,407

938,261

767,444

617,103

584,707

554,009

524,921

1,367,525

Business Case Results:

NPV of Cash Flow
IRR
Profitability Index
Simple Payback
Discounted Payback

Copyright 2007 Money-zine.com

1,367,525
12.1%
1.17
5 Years 2 Months
7 Years 6 Months

Assumptions:
Cost Escalation Factor
Benefit Escalation Factor
Income Tax Rate
Discount Rate

2.00%
2.20%
40.00%
8.00%

Depreciation Expense
Net Capital Costs
Depreciation Expense
Depreciation - 5 Year (MACRS)

Copyright 2007 Money-zine.com

Y0
(8,000,000.00)

(1,600,000.00)

(2,560,000.00)

(1,536,000.00)

(921,600.00)

(921,600.00)

(460,800.00)

20.00%

32.00%

19.20%

11.52%

11.52%

5.76%

8
-

9
-

10
-

Totals
(8,000,000.00)
(8,000,000.00)

Payback Calculation
Simple Cash Flow
Cumulative Simple Payback

Y0
8,000,000

Discounted Cash Flow

Cumulative Discounted Payback

8,000,000

Copyright 2007 Money-zine.com

$
$

1
1,561,000
1,561,000

$
$

2
1,966,486
3,527,486

$
$

3
1,578,869
5,106,355

$
$

4
1,355,601
6,461,956

$
$

5
1,378,613
7,840,569

$
$

6
1,217,837
9,058,406

$
$

7
1,057,606
10,116,013

$
$

8
1,082,252
11,198,264

$
$

9
1,107,467
12,305,732

$
$

10
1,133,266
13,438,997

$
$

1,445,370
1,445,370

$
$

1,685,945
3,131,315

$
$

1,253,357
4,384,672

$
$

996,407
5,381,080

$
$

938,261
6,319,340

$
$

767,444
7,086,784

$
$

617,103
7,703,887

$
$

584,707
8,288,594

$
$

554,009
8,842,604

$
$

524,921
9,367,525

Totals