Super

The Super Project

Project Request Detail
1. Land
2. Buildings
3. Machinery and Equipment
4. Engineering
5. Other
6. Expense Portion (before tax)
7.
Sub-total
8. Less: Salvage value (old asset)
9.
Total project cost
10. Less:Taxes on Exp. portion
11.
Net project cost

Funds Employed
12. Net project cost (line 11)
13. Deduct depreciation (cum.)
14. Capital funds employed
15. Cash
16. Receivables
17. Inventories
18. Prepaid and deferred exp.
19. Less: current liabilities
20. Total working funds (15 thru 19)
21. Total new funds employed (14+2
Profit and Loss
22. Unit volume
23. Gross Sales
24.
Deductions
25. Net sales
26.
Cost of goods sold
27. Gross Profit
28.
Advertising expense
29.
Selling expense
30.
General and Admin. costs
31.
Research expense
32.
Start-up costs
33.
Other: Test market
34.
Adjustments: Erosion
35. Profit before taxes

Project

1st per.
RETURN ON NEW FUNDS EMPLOYED - 10YR AVG.
80
120

A. New funds employed (line 21)

380
380
B. Profit before taxes (line 35)
240
C. Net profit (line 37)
116
D. Calculated return
30.49%
63.08%
PAYBACK YEARS FROM OPERATIONAL DATE
Part year calculation for first period
Number of full years to payback
6
Part year calculation for last period
0.83
Total years to payback
6.83

200
200
200
1st per.
Fiscal 68

2nd per.
Fiscal 69

3rd per.
Fiscal 70

4th per.
Fiscal 71

5th per.
Fiscal 72

6th per.
Fiscal 73

7th per.
Fiscal 74

8th per.
Fiscal 75

9th per.
Fiscal 76

200
19
181
124

200
37
163
134

200
54
146
142

200
70
130
151

200
85
115
160

200
98
102
160

200
110
90
169

200
121
79
169

200
131
69
178

207

222

237

251

266

266

281

281

296

(2)
329
510

(82)
274
437

(108)
271
417

(138)
264
394

(185)
241
356

(184)
242
344

(195)
255
345

(195)
255
334

(207)
267
336

1,100
2,200
88
2,112
1,100
1,012

1,200
2,400
96
2,304
1,200
1,104

1,300
2,600
104
2,496
1,300
1,196

1,400
2,800
112
2,688
1,400
1,288

1,500
3,000
120
2,880
1,500
1,380

1,500
3,000
120
2,880
1,500
1,380

1,600
3,200
128
3,072
1,600
1,472

1,600
3,200
128
3,072
1,600
1,472

1,700
3,400
136
3,264
1,700
1,564

1,100

1,050

1,000

900

700

700

730

730

750

15
360
180
(643)

200
(146)

210
(14)

220
168

230
450

230
450

240
502

240
502

250
564

36.
Taxes
36A.
Add: Investment credit
37. Net profit
38. Cumulative net profit
39. New funds to repay (21 less 38)
BaseCaseAssumptions:
Jell-O erosion factor
Building and agglom
Facilities overhead
Additional overhead
Distribution system alloc
Internal rate of return
NPV @ 10%
Inflation in cost of bldg & agglom.

(334)
(1)
(308)
(308)
818

50%
100%
100%
75%
0%
10.7%
$44
25%
1967

Depreciation rates
Net sales
COGS
Selling expense
Depreciation (new)
Depreciation (Jell-O)
Depreciation (dist system)
Start-up costs
Facilities overhead
Additional overhead
Jell-O erosion
Profit before taxes
Taxes @ 52%
Investment tax credit
Net profit
Depreciation add-back
Operating cash flow
New plant & equipment
Jell-O building
Jell-O equipment
Distribution system
Change in NWC
Investment outflow
Recovery of working capital

(76)
(1)
(69)
(377)
814

Super
(7) Project
87
(1)
(6)
(382)
799

(1)
82
(301)
695

234
(1)
217
(84)
440

234
(1)
217
133
211

261
(1)
242
375
(30)

261
(1)
242
617
(283)

Senstivity
base case
Jello to 60%
Jello to 100%
Facilities to 1971
Facilities to 1969
Bldg & Agglom usage allocation
NPV at 11%

(after 3 years)
(after 3 years)

293
271
888
(552)

44
(15)
(250)
107
(23)
230
65

1968
9.5%

1969
9.0%

1970
8.5%

1971
8.0%

1972
7.5%

1973
6.5%

1974
6.0%

1975
5.5%

2,112
(1,100)
(1,100)
(19)

2,304
(1,200)
(1,050)
(18)

2,496
(1,300)
(1,000)
(17)

2,688
(1,400)
(900)
(16)
(100)
-

2,880
(1,500)
(700)
(15)
(95)
-

2,880
(1,500)
(700)
(13)
(89)
-

3,072
(1,600)
(730)
(12)
(84)
-

3,072
(1,600)
(730)
(11)
(79)
-

(28)
(110)
134
(70)
64
116
180

(28)
(68)
(115)
360
(187)
173
110
282

(28)
(68)
(115)
367
(191)
176
102
279

(28)
(68)
(120)
431
(224)
207
96
303

(28)
(68)
(120)
437
(227)
210
90
299

(7)
(7)

(23)
(23)

1
1

13
13

(15)

#VALUE!
#VALUE!
#VALUE!
#VALUE!
#VALUE!

(90)
(197)
102
8
(87)
19
(68)

(100)
(64)
33
(31)
18
(13)

(105)
74
(38)
36
17
53

200
250
800
200

329
329

(55)
(55)

(3)
1,047

Super Project

Recovery of pl&eq (book)

Net cash flow
NPV

#VALUE!
$44

(397)

42

(994)

187

305

278

290

299

Super Project

RETURN ON NEW FUNDS EMPLOYED - 10YR AVG.

10th per.
Fiscal 77

10-yr avg

200
140
60
178

114
157

296

260

(207)
267
327

(150)
267
380

1,700
3,400
136
3,264
1,700
1,564

1,460
2,920
117
2,803
1,460
1,343

750

841

250
564

2
36
225
240

Super
293 Project
125
271
1,159
(832)

(1)
116

1976
5.0%

1977
4.5%

3,264
(1,700)
(750)
(10)
(68)
-

3,264
(1,700)
(750)
(9)
(63)
-

(28)
(68)
(125)
515
(268)
247
78
326

(28)
(68)
(125)
522
(271)
250
72
322

12
12

267

Super Project

533
314

1,122