World224-HS-10
Investment Banking Document / Model EditingPlease create a new scenario within the LBO model to assess if the sponsor can still meet the 20% IRR target at the Year 5 exit, given higher Net Working Capital needs.
1. Increase accounts receivable as % of sale by 2 percentage points value in Year 1, then keep it constant in the remaining projection years
2. Increase prepaid expenses and other current assets as % of sale by 2 percentage points in Year 1, then keep it constant in the remaining projection years.
Output: Add a new worksheet to the LBO model titled “NWC Scenario”. Add the Net Debt at Exit, Sponsor Equity Value at Exit, IRR %.
All monetary results must be displayed in USD millions, rounded to two decimal places, and all percentages must also be rounded to two decimal points.
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Expected: edit_existing_sheet
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