New York University Stern School of Business

ACCOUNTING MISC

C1: NI - Dividends- Change in RE =0 0.00 C2: Net cash flow - Change in cash =0 0.00 C3: Assets - Liabilities - Equities =0 0.00 C4: Indirect OCF - Direct OCF = 0 (0.00) C5: Net operating assets - invested capital = 0 0.00 Inputs Year 1 Sales and sales growth 100.00 COGS [excluding depreciation] as % of sales 52.00% Salaries and wages as % of sales 10.00% Advertising expense as % of sales 5.00% Depreciation expense as % of sales 20.00% Interest expense rate for AVERAGE short-term debt 5.00% Interest expense rate for AVERAGE long-term debt 6.00% Interest income rate on AVERAGE cash 1.00% Tax rate 25.00% Balance sheet All numbers below are for ending balances Cash needed for liquidity as % of current year sales 2.00% Number of days in a year 360.00d Days of receivables: Use current year sales 30.00d Days of inventory: Use current year COGS 120.00d Days of prepaid advertising: Use current year advertising expense 45.00d Days of payables to suppliers of inventory: Use current year COGS 40.00d Days of accrued salaries and wages: Use current year salaries 15.00d Days of deferred revenue: Use current year sales 15.00d Net PPE as % of current year sales 200.00% Short-term debt as % of receivables 70.00% Mortgage debt as % of Net PPE 80.00% Cash flows Dividend payout as % of net income 10.00% A Simple Model You must enter your answers on line. Submission of this spreadsheet will not be accepted. © Dan Gode (dangode.com) Copyrighted: Do not forward F