Essays on Base Case

Characteristics of the transportation project

Transportation project is concerned with the problem of transporting different amounts of a homogenous product that are initially stored at different origins to various destinations. It is a logistics issue in which the product is transported in a way that minimizes the total transportation cost. A transportation project has various characteristics. One of the features of this project is that every destination demands a fixed unit of the product. Additionally, the project will have possible solutions if all supplies equal all demands. The total demand must be obtained from the sources involved. Also, the cost of transporting the products ...

Step 1:

This efficiency analysis will examine the efficiency of widen an intercity highway in Los Angeles from four lanes to six lanes with the intention of reducing traffic congestion. Already the existing highway has four lanes. However, due to congestion, the project team proposed the idea to widen the highway to accommodate six lanes.

Step 2:

In this case, the main purpose of the economic efficiency analysis is to determine whether the project is viable for its entire lifetime. Any major infrastructure works within a city are very expensive. In addition, infrastructure projects have a life expectancy and they are expected to ...

Introduction

Space Age Furniture Company produces two major products, Gemini TV stand and Saturn Microwave stand. However, both of these products require a single common product, 3079. This material can only be produced on one machine and only one machinist knows how to operate it. This is one issue that results in frequent overtime for the machinist. Additionally, this material (3079) is used in both the subassemblies for Gemini TV stand and Saturn microwave stand. The major problem with the subassembly is that the minimum lot size is 1000 for both the subassemblies. Higher lot size is increasing the inventory ...

INTERNATIONAL RISK MANAGEMENT

Methods used by JPMorgan in the valuations Discounted equity value considering price/earnings recurring in FY 2014-15 of 4.0x to 7.0x: ranging from $7.00 to $13.50 for each stock. Trading multiples earnings/price multiples of 4.0x to 7.0x and consensus EPS of$1.79 per share: ranging from $7.25 to $13.00 for each stock. Analyst price targets of $9.00 to $18.50 for each stock. 52-week dealing range of $9.43 to $18.32 for each stock

Ranges of the JPMorgan methods

DCF using Street agreement case: $15.25 to $19.25 per share. DCF using Street low case: $9.50 to $11.50 per single share. DCF relating Street high case: $19.25 to $ ...

The Cooking Hut Company (CHC), a kiosk retailer, has never budgeted due to its nature as a start-up.  CHC is now reaching the point where operations are predictable enough that a budget would be helpful for planning purposes.     Using spreadsheet software, prepare 2016 budget schedules & pro forma financials by quarter and in total, unless otherwise noted, based on the assumptions provided in this narrative. You will submit one Excel workbook (or Google spreadsheet).  There should be only three worksheets in the workbook. Each worksheet is a stand-alone budget scenario: (#1) base case scenario, (#2) modify cash flow scenario, and ( ...

in the industrial and infrastructure sector

Abstract

In most parts of the Arab countries, the limited resources of water pose adverse constraints to both the social and economic development, while also threatening the people’s livelihood. The available surface water keeps on declining, and the ground water over-pumping that goes beyond the natural recharge rates has continued to cause great negative impact in the lowering of water table. Over-pumping of ground water also increases ground water salinity, ground water depletion, and ecological degradation (SCENR 5). The outcome prompted the Qatar government to start regulating its water resources as a measure ...

A cost-benefit analysis or BCA is a helpful tool for program evaluation; it attempts to compare costs with the dollar value of all or most of the many benefits of a program. It could be applied any time; before, after or during the program of implementation, and it can assist decision makers in evaluating the efficiency of a program. In addition, it considers the changes in costs and benefits that would cause by potential improvement to the status quo facility. Status quo is the state of the world in the absence of the program or policy.

In connection to a power station that ...

Appendix

Executive Summary - Introduction - Methodology - Benefit and Cost Categories - Forecasting Methodology and Decision Criteria - Assumption - Analysis - Project Analysis (commentary and summary of base case results) - Sensitivity Analysis - Evaluating the project - Risk Analysis - Conclusion/Recommendation Executive Summary The cost benefit analysis is the fundamental appraisal tool under the public spending sector. The paper provides an approach by which the cost incurred in e-government project is compared against the expected benefits so that the government can be able to ...

1. Valuation Technique Used

Two valuation approaches are utilized for analysis,

a. Base Case “As-Is” valuation of ATC’s cashflows and b. After acquisition valuation of the ATC’s cashflows This provides a before and after picture of ATC thus making the crafting of ATC’s valuation easier. These valuation techniques is recommended by EF Moody (2012) for conducting investment appraisals, specifically the procedure of comparing the value of a company’s operations with the value of the company after enjoying the benefits and improvements due to a merger or acquisition. The discounted cash flow approach leading to the calculation of the company’s net present value ...