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    Corporate Finance Assignment: Participants Name: Zeeshan Hussain Haris Ali Adil Farooq Fahad Anjum

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    DN Otaku
    This document contains financial information about Nestle Company from 2018 to 2023 including sales, costs, profits, and cash flows. It then calculates the payback period of the company's initial investment of 66.6 million as 4.9 years based on the cumulative cash flows. The internal rate of return is determined to be 15% based on discounting the cash flows, which is considered good. In conclusion, the company is profitable as seen by the positive cash flows, the investment is recovered in under 5 years, and the IRR of 15% indicates good returns.

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    Corporate Finance Assignment: Participants Name: Zeeshan Hussain Haris Ali Adil Farooq Fahad Anjum

    Uploaded by

    DN Otaku
    17 views4 pages
    This document contains financial information about Nestle Company from 2018 to 2023 including sales, costs, profits, and cash flows. It then calculates the payback period of the company's initial investment of 66.6 million as 4.9 years based on the cumulative cash flows. The internal rate of return is determined to be 15% based on discounting the cash flows, which is considered good. In conclusion, the company is profitable as seen by the positive cash flows, the investment is recovered in under 5 years, and the IRR of 15% indicates good returns.

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    This document contains financial information about Nestle Company from 2018 to 2023 including sales, costs, profits, and cash flows. It then calculates the payback period of the company's initial investment of 66.6 million as 4.9 years based on the cumulative cash flows. The internal rate of return is determined to be 15% based on discounting the cash flows, which is considered good. In conclusion, the company is profitable as seen by the positive cash flows, the investment is recovered in under 5 years, and the IRR of 15% indicates good returns.

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    © All Rights Reserved
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    Download as docx, pdf, or txt
    17 views4 pages

    Corporate Finance Assignment: Participants Name: Zeeshan Hussain Haris Ali Adil Farooq Fahad Anjum

    Uploaded by

    DN Otaku
    This document contains financial information about Nestle Company from 2018 to 2023 including sales, costs, profits, and cash flows. It then calculates the payback period of the company's initial investment of 66.6 million as 4.9 years based on the cumulative cash flows. The internal rate of return is determined to be 15% based on discounting the cash flows, which is considered good. In conclusion, the company is profitable as seen by the positive cash flows, the investment is recovered in under 5 years, and the IRR of 15% indicates good returns.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 4

    CORPORATE FINANCE

    assignment

    Participants Name :
    ZEESHAN HUSSAIN
    M15BBA068
    HARIS ALI
    M14BBA076
    ADIL FAROOQ
    M15BBA004
    FAHAD ANJUM
    M15BBA048

    Zeeshan Hussain

    SPECIALIZATION
    BBA (HONS) Banking & Finance

    SESSION:
    2015-------2019

    INSTITUTION:
    HAILEY COLLEGE OF BANKING &
    FINANCE
    UNIVERSITY OF THE PUNJAB

    PRESENTED TO.
    SIR AMMAR
    Nestle Company’s Portfolio

    Particula 2018 2019 2020 2021 2022 2023


    rs
    Sales 124,614,7 13707626 15078388 165862278. 182448506.7 200693357.39
    85 3.5 9.8 8

    Cost of 80302114 88332325. 97165557. 106882113. 117570325 129327357.5


    sale 4 94 7

    Gross 41,372,13 45509343 50060277. 55066305.0 60572935.53 66630229.086


    profit 0 3 3 3 3

    Distributio (18,470,24 20317265. 22348991. 24583890.7 27042279.84 29746507.832


    81
    n expenses 1) 1 61 71 91

    Selling (2,926,471 3219118.1 3541029.9 3895132.90 4284646.191 4713110.8102


    expenses ) 1 1 1 1

    Operating 19,975,41 21972959. 24170255. 26587281.3 29246009.49 32170610.443


    profit 8 8 78 58 38 18

    Profit 16,899,96 18589960. 20448956. 22493852.0 24743237.29 27217561.021


    before 4 4 44 84 24 64
    taxation
    Profit 11,544,58 12699040. 13968944. 15365838.6 16902422.50 18592664.756
    after 2 2 22 42 62 82
    taxation
    Nestle company’s cash inflows and outflow

    Outflow (EQUITY AND LIABILITIES)


    (66,641,242)
    Inflows (net profit) 2018 11,544,582
    -----------------------2019 12699040.2
    -----------------------2020 13968944.22
    -----------------------2021 15365838.642
    -----------------------2022 16902422.5062
    -----------------------2023 18592664.75682

     Payback period

    Year Cash flow Cumulative cash flow


    0 (66,641,242)
    2018 11,544,582 (55096660)
    2019 12699040.2 (42397619.8)
    2020 13968944.22 (28428675.58)
    2021 15365838.642 (15365838.642)
    2022 16902422.5062

    4 + {(15365838.642)/ 16902422.5062}

    4 + 0.90

    Payback period is 4.90 years

     IRR

    AT LOW RATE IS 10% AND HIGH RATE 20 %

    IRR =15%

    CONCLUSION:

    The company is in profitability as it looks from its discounting cash flows from
    present cash flows of current year and its investment is recovers completely in
    4.50 years which shows company operations are going well . and its internal
    rate of return is 15 % which is good.

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