2012 Round 2: Asset Schedule

Description
This workbook is taken from the 2nd round of the 2012 Modeloff financial modeling world chamionships.

Follow the instructions in order to complete the model:

INTRODUCTION

You've been asked to prepare model the forecast asset schedules for a new business. As part of the analysis you are required to analyze the impact on the forecast deferred tax. To help you prepare the analysis you have been provided with following information:

FORECAST CAPITAL EXPENDITURE

All capex amounts (presented in the table in the attached PDF) are specified in provided in real 2012 US$m. All Capital expenditure is incurred at the first day of each calendar year.

FORECAST INFLATION

You have been advised that the inflation rate is forecast to be 3% per annum.

ACCOUNTING TREATMENT

For accounting purposes, depreciation on the Capex is calculated on a straight line basis over 12 years.

TAX TREATMENT

For taxation purposes, depreciation on Capex is calculated using the diminishing value method at a rate of 40% per annum. The taxation rate is currently 30% per annum but is forecast to moving down to 28% from the start of 2016.

STYLE CONVENTIONS

In developing your model, you are expected to adhere to the ModelOff style conventions. At the end of this section you will be required to submit the model you built when answering this question.

Allotted time: 35 minutes

Once finished, feel free to upload your model to your own dedicated author channel!