edf40wrjww2CF_PaperMaster:Desc
Working Capital Won't change, at the end of year 8 it will be $200,000
Depreciation = $200,000 for the first 5 years.
Invest in plant and equipment $1,000,000 / 5 = $200,000
The depreciation is $0 for 6-8 years
Years Zero One Two Three Four Five Six Seven Eight
Revenues (RV) 0 950 1500 1500 1500 1500 1500 1500 1500
Expenses (E) 0 602.5 905 905 905 905 905 905 905
Depreciation (D) 0 200 200 200 200 200 0 0 0
Income Before Tax (IBT) 0 147.5 395 395 &n ...