Do homework for Corporate Finance subject - repost
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I need someone who are in good in writing finance report skills, good calculating and good communication to help me complete my exercise in 1 day. This is detail of my question.
Question 3:
Assume you are the Chief Finance Officer (CFO) of a publicly traded nationwide chain of Kwality food stores. Your company is considering opening a new store; a space is available in the Federation Square building in Melbourne. If you do not sign the lease today there is a high probability that someone else will.
The building management has offered you a choice of two leases:
Lease A is an open ended lease that will allow you to operate in the building without any options to break the lease. Under this lease the new store will cost $9, 000 per month to operate including lease payments.
Lease B provides you with the once-off option to walk away from the lease with no financial penalties at two months. However, lease payments under this lease will be an additional $1, 000 per month.
You are facing two possibilities here: If everything going in the right direction, you can expect to generate $17, 000 per month in revenue in perpetuity. However, if your customers are mainly limited to morning and evening commuters, you expect the revenue to be halved. You estimate that there is an equal probability for each of the above revenue possibilities. The set up cost of the store will be $350, 000 and assume a required rate of return of 9% per year.
As the CFO which lease would you sign? Provide calculations to support your answer.
I also attach the instruction file so please read my question and the instruction file with highlight point before bidding. My teacher hate to use calculation in excel file which is mention in the instruction file so we can't use it. The word limit is 750 words which include the calculation, showing your understanding, explanation about the answer, what you learn in this question.
Hello Sir, don't go too far in search of a highly experienced academic writer.I am academic writer with years of experience writing reports, different types of university-level essays, powerpoint presentation, critiques and host of other top-notch presentations. I am well versed at MLA, APA, Chicago and Harvard citation and referencing styles.
Having read the attached file and case, i can do prepare the report and be ready 24 hours from now. I have done ACCA which makes me very good at corporate finance. I will follow all instructions to the latter.