《公司理财》相关资料

MakingCapitalInvestmentDecisionsChapter8第一页，共三十四页。KeyConceptsandSkillsUnderstandhowtodeterminetherelevantcashflowsforvarioustypesofcapitalinvestmentsBeabletocomputedepreciationexpensefortaxpurposesIncorporateinflationintocapitalbudgetingUnderstandthevariousmethodsforcomputingoperatingcashflowApplytheEquivalentAnnualCostapproach第二页，共三十四页。ChapterOutline8.1IncrementalCashFlows8.2TheBaldwinCompany:AnExample8.3InflationandCapitalBudgeting8.4AlternativeDefinitionsofCashFlow8.5InvestmentsofUnequalLives:TheEquivalentAnnualCostMethod第三页，共三十四页。8.1IncrementalCashFlowsCashflowsmatter—notaccountingearnings.Sunkcostsdon’tmatter.Incrementalcashflowsmatter.Opportunitycostsmatter.Sideeffectslikecannibalismanderosionmatter.Taxesmatter:wewantincrementalafter-taxcashflows.Inflationmatters.第四页，共三十四页。CashFlows—NotAccountingConsiderdepreciationexpense.Youneverwriteacheckmadeoutto“depreciation.”Muchoftheworkinevaluatingaprojectliesintakingaccountingnumbersandgeneratingcashflows.第五页，共三十四页。IncrementalCashFlowsSunkcostsarenotrelevantJustbecause“wehavecomethisfar”doesnotmeanthatweshouldcontinuetothrowgoodmoneyafterbad.Opportunitycostsdomatter.JustbecauseaprojecthasapositiveNPV,thatdoesnotmeanthatitshouldalsohaveautomaticacceptance.Specifically,ifanotherprojectwithahigherNPVwouldhavetobepassedup,thenweshouldnotproceed.第六页，共三十四页。IncrementalCashFlowsSideeffectsmatter.Erosionandcannibalismarebothbadthings.Ifournewproductcausesexistingcustomerstodemandlessofcurrentproducts,weneedtorecognizethat.If,however,synergiesresultthatcreateincreaseddemandofexistingproducts,wealsoneedtorecognizethat.第七页，共三十四页。EstimatingCashFlowsCashFlowfromOperationsRecallthat: OCF=EBIT–Taxes+DepreciationNetCapitalSpendingDon’tforgetsalvagevalue(aftertax,ofcourse).ChangesinNetWorkingCapitalRecallthatwhentheprojectwindsdown,weenjoyareturnofnetworkingcapital.第八页，共三十四页。InterestExpenseLaterchapterswilldealwiththeimpactthattheamountofdebtthatafirmhasinitscapitalstructurehasonfirmvalue.Fornow,it’senoughtoassumethatthefirm’slevelofdebt(and,hence,interestexpense)isindependentoftheprojectathand.第九页，共三十四页。8.2TheBaldwinCompanyCostsoftestmarketing(alreadyspent):$250,000Currentmarketvalueofproposedfactorysite(whichweown):$150,000Costofbowlingballmachine:$100,000(depreciatedaccordingtoMACRS5-year)Increaseinnetworkingcapital:$10,000Production(inunits)byyearduring5-yearlifeofthemachine:5,000,8,000,12,000,10,000,6,000第十页，共三十四页。TheBaldwinCompanyPriceduringfirstyearis$20;priceincreases2%peryearthereafter.Productioncostsduringfirstyearare$10perunitandincrease10%peryearthereafter.Annualinflationrate:5%WorkingCapital:initial$10,000changeswithsales第十一页，共三十四页。TheBaldwinCompany

Year0 Year1 Year2 Year3 Year4Year5Investments:(1) Bowlingballmachine –100.00 21.76*(2) Accumulated 20.00 52.00 71.20 82.7294.24depreciation(3) Adjustedbasisof 80.00 48.00 28.80 17.285.76machineafter

depreciation(endofyear)(4) Opportunitycost –150.00 150.00

(warehouse)(5) Networkingcapital 10.00 10.00 16.32 24.97 21.22 0(endofyear)(6) Changeinnet –10.00 –6.32 –8.65 3.7521.22workingcapital(7) Totalcashflowof –260.00 –6.32 –8.65 3.75192.98investment

[(1)+(4)+(6)]($thousands)(Allcashflowsoccurattheendoftheyear.)第十二页，共三十四页。TheBaldwinCompanyAttheendoftheproject,thewarehouseisunencumbered,sowecansellitifwewantto.

Year0 Year1 Year2 Year3 Year4Year5Investments:(1) Bowlingballmachine –100.00 21.76*(2) Accumulated 20.00 52.00 71.20 82.7294.24depreciation(3) Adjustedbasisof 80.00 48.00 28.80 17.285.76machineafter

depreciation(endofyear)(4) Opportunitycost –150.00 150.00

(warehouse)(5) Networkingcapital 10.00 10.00 16.32 24.97 21.22 0(endofyear)(6) Changeinnet –10.00 –6.32 –8.65 3.7521.22workingcapital(7) Totalcashflowof –260.00 –6.32 –8.65 3.75192.98investment

[(1)+(4)+(6)]第十三页，共三十四页。TheBaldwinCompany

Year0 Year1 Year2 Year3 Year4Year5Income:(8)SalesRevenues 100.00 163.20 249.72 212.20129.90

Recallthatproduction(inunits)byyearduringthe5-yearlifeofthemachineisgivenby:(5,000,8,000,12,000,10,000,6,000).Priceduringthefirstyearis$20andincreases2%peryearthereafter.Salesrevenueinyear3=12,000×[$20×(1.02)2]=12,000×$20.81=$249,720.第十四页，共三十四页。TheBaldwinCompany

Year0 Year1 Year2 Year3 Year4Year5Income:(8)SalesRevenues 100.00 163.20 249.72 212.20129.90(9)Operatingcosts 50.00 88.00 145.20133.1087.84

Again,production(inunits)byyearduring5-yearlifeofthemachineisgivenby:(5,000,8,000,12,000,10,000,6,000).Productioncostsduringthefirstyear(perunit)are$10,andtheyincrease10%peryearthereafter.Productioncostsinyear2=8,000×[$10×(1.10)1]=$88,000第十五页，共三十四页。TheBaldwinCompany

Year0 Year1 Year2 Year3 Year4Year5Income:(8)SalesRevenues 100.00 163.20 249.72 212.20129.90(9)Operatingcosts 50.00 88.00 145.20133.1087.84(10)Depreciation 20.00 32.00 19.20 11.5211.52DepreciationiscalculatedusingtheAcceleratedCostRecoverySystem(shownatright).Ourcostbasisis$100,000.Depreciationchargeinyear4=$100,000×(.1152)=$11,520.Year ACRS% 1 20.00% 2 32.00% 3 19.20% 4 11.52% 5 11.52% 6 5.76% Total 100.00% 第十六页，共三十四页。TheBaldwinCompany

Year0 Year1 Year2 Year3 Year4Year5Income:(8)SalesRevenues 100.00 163.20 249.72 212.20129.90(9)Operatingcosts 50.00 88.00 145.20133.1087.84(10)Depreciation 20.00 32.00 19.20 11.5211.52(11)Incomebeforetaxes 30.00 43.20 85.32 67.5830.54

[(8)–(9)-(10)](12)Taxat34percent 10.20 14.69 29.01 22.9810.38(13)NetIncome 19.80 28.51 56.31 44.6020.16

第十七页，共三十四页。IncrementalAfterTaxCashFlows

Year0Year1Year2Year3Year4Year5(1)SalesRevenues

$100.00$163.20$249.72$212.20$129.90(2)Operatingcosts

-50.00-88.00-145.20133.10-87.84(3)Taxes

-10.20-14.69-29.01-22.98-10.38(4)OCF(1)–(2)–(3)

39.8060.5175.5156.1231.68(5)TotalCFofInvestment–260.

–6.32–8.653.75192.98(6)IATCF[(4)+(5)]–260.39.8054.1966.8659.87224.66第十八页，共三十四页。NPVofBaldwinCompany139.8051.588–260CF1F1CF0INPV10154.19CF2F2166.86CF3F3159.87CF4F41224.66CF5F5第十九页，共三十四页。8.3InflationandCapitalBudgetingInflationisanimportantfactofeconomiclifeandmustbeconsideredincapitalbudgeting.Considertherelationshipbetweeninterestratesandinflation,oftenreferredtoastheFisherequation: (1+NominalRate)=(1+RealRate)×(1+InflationRate)第二十页，共三十四页。InflationandCapitalBudgetingForlowratesofinflation,thisisoftenapproximated:RealRateNominalRate–InflationRateWhilethenominalrateintheU.S.hasfluctuatedwithinflation,therealratehasgenerallyexhibitedfarlessvariancethanthenominalrate.Incapitalbudgeting,onemustcomparerealcashflowsdiscountedatrealratesornominalcashflowsdiscountedatnominalrates.第二十一页，共三十四页。OtherMethodsforComputingOCFBottom-UpApproachWorksonlywhenthereisnointerestexpenseOCF=NI+depreciationTop-DownApproachOCF=Sales–Costs–TaxesDon’tsubtractnon-cashdeductionsTaxShieldApproachOCF=(Sales–Costs)(1–T)+Depreciation*T第二十二页，共三十四页。8.5InvestmentsofUnequalLivesTherearetimeswhenapplicationoftheNPVrulecanleadtothewrongdecision.Considerafactorythatmusthaveanaircleanerthatismandatedbylaw.Therearetwochoices:The“Cadillaccleaner”costs$4,000today,hasannualoperatingcostsof$100,andlasts10years.The“Cheapskatecleaner”costs$1,000today,hasannualoperatingcostsof$500,andlasts5years.Assuminga10%discountrate,whichoneshouldwechoose?第二十三页，共三十四页。InvestmentsofUnequalLivesAtfirstglance,theCheapskatecleanerhasahigherNPV.10–100–4,614.46–

4,000CF1F1CF0INPV105–500–2,895.39–1,000CF1F1CF0INPV10CadillacAirCleanerCheapskateAirCleaner第二十四页，共三十四页。InvestmentsofUnequalLivesThisoverlooksthefactthattheCadillaccleanerlaststwiceaslong.Whenweincorporatethat,theCadillaccleanerisactuallycheaper(i.e.,hasahigherNPV).第二十五页，共三十四页。InvestmentsofUnequalLivesReplacementChainRepeatprojectsuntiltheybeginandendatthesametime.ComputeNPVforthe“repeatedprojects.”TheEquivalentAnnualCostMethod第二十六页，共三十四页。ReplacementChainApproachTheCadillaccleanertimelineofcashflows:-$4,000–100-100-100-100-100-100-100-100-100-100012345678910-$1,000–500-500-500-500-1,500-500-500-500-500-500012345678910TheCheapskatecleanertimelineofcashflowsovertenyears:第二十七页，共三十四页。ReplacementChainApproach10–100–4,614–4,000CF1F1CF0INPV104–500–4,693–1,000CF1F1CF0INPV10CadillacAirCleanerCheapskateAirCleaner1–1,500CF2F25–500CF3F3第二十八页，共三十四页。EquivalentAnnualCost(EAC)ApplicabletoamuchmorerobustsetofcircumstancesthanthereplacementchainTheEACisthevalueofthelevelpaymentannuitythathasthesameP