The Empire is planning to create the first ever Death Star.

Please help fill out the chart below.

The Empire is planning to create the first ever Death Star. Darth Vader, the Emperor’s right hand man and the manager of the project, has asked you to evaluate the project. Here is some of the information that you need to evaluate the project.

  • The equipment costs are around IC 100,000 (where IC is the imperial credit) plus IC 60,000 more for installation.
  • In order to operate the Death Star, working capital has to increase by IC 40,000 which will be recovered at the end of the project.
  • As the Emperor has foreseen it, the project is expected to last 4 years after which the equipment will be destroyed by the Rebellion. However, some parts of the project will be salvaged and sold for IC 20,000 to the Ewoks. Depreciation is based on straight-line method with zero salvaged value.
  • Each planet that Darth Vader destroys costs the empire IC 10,000 but at the same time, it brings in IC 25,000 per planet destroyed from other fearing planets. Each year the empire plans to destroy 10 planets.
  • The Death Star is a big-machine and therefore incurs a fixed cost of IC 75,000 to operate each year.
  • In order to set an example, the Empire Department of Tax charges a 40% tax rate on the Death Star; however they give a tax shield for borrowing money.
  • To finance this project, the Empire will borrow 40% of the initial outlay from the Banking Clan at a pre-tax rate of 12.50%. The other 60% will come by selling equity to the Separatist Group. The selling price per share of the Empire is IC 100 and is expected to grow at the constant rate of 11.67% forever. The next dividend will be of IC 5. The lenders of the capital require high rate of return because this is a risky project and has never been done before.

What is your recommendation for the Death Star project to Darth Vader?

Show more

Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more