All I need done is question 1 that’s it.
Case Study 25300 Fundamentals of Business Finance – Assignment 1 # Assignment instructions Please read the following information carefully: 1) Due date and time: 9am on Monday 5 October 2020. 2) Weight: 20% of total grade. 3) Teams: • You can have an assignment team of: o 1 student, which means you do the assignment by yourself. OR, o 2 to 8 students, which means you do the assignment in a group of students. • Teams may consist of members from different tutorials. • We encourage you to form teams consisting of 2 to 8 students as you will develop skills that are important to your professional life, and your assignment submission is likely to be stronger as it considers input from different students in your team. • All team members receive the same assignment mark. Teaching staff are unable to award team members different marks in the event a team has a ‘free-rider’. Therefore, you should give considerable thought into selecting team members. In the event of a conflict within the group, it your group’s responsibility to resolve the issue respectfully and maturely. In dire situations please contact the subject coordinator. For more information on working in groups: https://www.uts.edu.au/current-students/support/helps/self-help-resources/group-work 4) Preformatted blank excel spreadsheet: • You must record your answers in the provided blank excel spreadsheet (available on UTS Online). This spreadsheet is protected which means that only a restricted number of cells can be used. All of your inputs into the spreadsheet should be using Arial font and size 8 text, this ensures that your inputs are not converted to ######. Your answers will be converted to ###### if your cash flow/value is greater than 9,999,999,999 (Hint: none of your cash flows/values for Q1-5 in your solution should be that large). The cells you cannot use are coloured grey. This preformatted spreadsheet is designed in such a way to speed up the marking process. • For Q1 to 3 enter the cash flow description and the dollar amount in the appropriate cells. Use whole dollars only and ignore cents. There are more rows than are required so if you’ve used all of the rows then it means you’ve got too many cash flow items (also see additional instructions on page 7 of this document). We want to be able to easily identify each cash flow. Here is an example of how to report cash flows over the life of the project: • Q4 and Q5 can be answered using the vacant cells provided. • The student number and name of all group members must be entered into the relevant section of the spreadsheet. You must also nominate one team member as the team leader and supply their tutorial details in the corresponding fields of the spreadsheet. 25300 Fundamentals of Business Finance – Assignment 2 # Assignment instructions: 5) Submission: • Please save your spreadsheet file with its original “.xlsx” extension. Do not save the spreadsheet in any other format other than “.xlsx” as we are unable to open non-EXCEL file extensions from UTS Online. Users of Apple’s Numbers spreadsheet or other programs – you have been warned. • You must submit your team’s answer spreadsheet using the “Assignment submission” feature available under the Assignments folder on UTS Online. To submit, click on “Assignment submission”, click on “Browse My Computer” to open and attach your spreadsheet and then click the “Submit” button, that’s it! Check your gradebook (“Tools” -> “My Grades”) to verify that your spreadsheet has been submitted correctly. The date and time will be displayed along with an exclamation mark (!). If you have a padlock symbol it means you did not correctly submit your spreadsheet, so please try again. This information only appears in the gradebook of the student who submitted the spreadsheet. Please note we will only consider the first electronic submission that you make, therefore, make sure it is your final submission. 6) Assignment queries: • We will not answer queries about the assignment content in person or by email (email is acceptable for only questions of personal/private nature). • Assignment queries belong on UTS Online because everyone benefits from your question and answer (whether the answer is given by us or another student). Please refer to the paragraph number or question number in the assignment details below when asking a query on UTS Online (to make it easier for you, a separate thread for each paragraph number and question number has already been created in the Discussion Board on UTS Online). We will not provide direct “yes/no” answers to your queries. • Please read the existing posts on the discussion board before posting your query as it is likely to have been answered already (especially when we approach the submission date). In addition, please check the discussion board as we will clarify any perceived ambiguities in the assignment questions. It is not a sufficient excuse to ex-post make a complaint about the assignment because you have not been pro-active in seeking clarification via the discussion board. Of course we greatly encourage your queries! 7) Penalties • Late assignments incur a penalty of 25% per day (or part thereof) of the raw mark. • You may also incur a penalty if you: o Fail to submit your assignment using the preformatted spreadsheet available on UTS Online. o If your name appears on multiple assignment submissions. o Or other illegitimate reason. • Penalties do not apply if a special consideration application is made and subsequently approved by the subject coordinator. 25300 Fundamentals of Business Finance – Assignment 3 # Assignment instructions: 8) Statement on plagiarism: • I refer you to the subject outline to make sure you are familiar with UTS’ statement on plagiarism. In a nutshell, do not copy another team’s solutions and do not share your assignment with another group. • Please note that when you submit the assignment you are declaring that your assignment submission is plagiarism-free. Please note that even if one member of the team demonstrates plagiarism (without the knowledge of the other team members), this will lead to problems for all team members. You do not want to be responsible for causing issues to your team members. • In previous semesters, teams were caught for plagiarism. All of these students did not think they would be caught and they seriously regret their actions. The students from all of the teams (guilty and non-guilty) are awaiting their results which is affecting their ability to enrol in subsequent subjects. Some examples of penalties for plagiarism include: sanctions from UTS, having to redo the subject, and fees incurred to retake the subject. I don’t want to come across as the bad guy but you have been warned. 25300 Fundamentals of Business Finance – Assignment 4 Assignment information: Your team must answer the following five questions. Questions 1 to 4 require information relating to the capital budgeting decision of United Cruises. Question 5 (detailed below on page 8) is unrelated to Questions 1 to 4. Capital Budgeting Information (17 Marks) Present an itemised breakdown (and the total) for each of the following: Q1. The Cash Flows at the start. Q2. The Cash Flows over the life. Q3. The Cash Flows at the end. Q4. The NPV of the capital budgeting decision and a short explanation of your recommendation. Congratulations, you were hired as a financial analyst for United Cruises following your studies at the University of Technology Sydney. United Cruises is a cruise ship service provider in the Australasian region. You fought off tough competition for the job, the recruitment team selected you for your personable character, analytical mind, ability to solve problems, and experience of working well in teams. You have really impressed senior management with your finance knowledge and ability to get the job done. As a result, the Chief Executive Officer (CEO) Margot Robbie and Chief Financial Officer (CFO) Rafael Nadal have asked you to perform a capital budgeting analysis of two new cruise ships, the King Voyager and Queen Spirit. The capital budgeting decision is whether United Cruises should purchase both cruise ships today in 2020 (Note: The decision is that United Cruises either buys both cruise ships, or they do not buy any cruise ships at all). In order to conduct your analysis you will need to collect information from different departments of the firm. Beyonce Drake from the accounting department and Dwayne Johnson from the sales department have helped you obtain information from various departments. The information that you have collected is detailed in the numbered paragraphs below. It is your job as a financial analyst to decipher which information is relevant to the capital budgeting analysis. Upon completion, you will present your analysis to Senior Management who will approve/decline investment in the new cruise ships. Information gathered from various departments: 1. United Cruises is a medium-sized Australian cruise experience provider. United Cruises will purchase the King Voyager and Queen Spirit immediately. The cost of the King Voyager is $45 million, and the Queen Spirit costs $42 million. The King Voyager will provide a cruise experience from Sydney to South Island New Zealand. The Queen Spirit will provide a cruise experience from Sydney to North Island New Zealand. The plan is to sell the King Voyager and Queen Spirit in ten years’ time. The required rate of return for the King Voyager and Queen Spirit investment project is 9%. 2. United Cruises will borrow $87 million from Macquarie Bank to fund the purchase of the King Voyager and Queen Spirit cruise ships. Beyonce creates an amortisation schedule that indicates that the yearly principal and interest repayments on the debt are $10 million. 3. United Cruises has been operating since 2010. The two existing cruise ships in the United Cruises fleet include the Duke Magic and Princess Platinum. Both of these cruise ships were purchased five years ago, and are being depreciated over a 25-year life. Margot wants the King Voyager and Queen Spirit to be depreciated over a 35-year life because these new cruise ships are more modern