Question # 1

US$ Stock Sprearhead Market index Rm

Dec-17 293.3 35,000.0
Jan-18 294.7 36,745.0 0.0487
Feb-18 293.3 34,669.0 -0.0582
Mar-18 288.7 35,772.0 0.0313
Apr-18 310.7 36,791.0 0.0281
May-18 282.0 36,044.0 -0.0205
Jun-18 287.3 34,745.0 -0.0367
Jul-18 289.3 37,254.0 0.0697
Aug-18 299.3 35,495.0 -0.0484
Sep-18 290.7 35,270.0 -0.0064
Oct-18 300.0 34,966.0 -0.0087
Nov-18 290.7 37,036.0 0.0575
Dec-18 324.0 37,820.0 0.0209
Annual return 0.0775
Risk free rate
Covariance
Market variance
Beta

# Sensitivity: Internal
 Ri

0.0048
-0.0048
-0.0158
0.0734
-0.0969
0.0186
0.0069
0.0340
-0.0292
0.0315
-0.0315
0.1085
0.0995
7%
0.0020
0.0251
0.0776

# Sensitivity: Internal
 Question # 2

US$ 2000 2001 2002

Sales
Calm 54,455 57,178 60,323
Surf 30,768 32,306 34,083
Skill 29,870 31,364 33,088
Total 115,093 120,848 127,494

Cost of sales
Raw material 23,019 24,170 25,499
Labour 17,264 18,127 19,124
Overheads 13,811 14,502 15,299
Total 54,094 56,798 59,922

Total Opex 26,471 26,458 26,445

Net profit 34,528 37,591 41,127

Net profit Margin 30.0% 31.1% 32.3%

Cost of sales 2000 2001 2002

Raw material 0.4255 0.4255 0.4255
Labour 0.3191 0.3191 0.3191
Overheads 0.2553 0.2553 0.2553

Raw material 0.4255 0.4255 0.4255

Labour 0.3191 0.3191 0.3191
Overheads 0.2553 0.2553 0.2553

Data remains the same for all years that’s why piechart will be same for all years

Year 2000 - 2005

Raw material Labour Overheads

# Sensitivity: Internal
 Raw material Labour Overheads

# Sensitivity: Internal
uestion # 2

2003 2004 2005

63,942 68,098 72,865

36,128 38,477 41,170 Year wise Stacked Bar graph for sales pro
35,074 37,354 39,968
80,000
135,144 143,928 154,003
70,000
60,000

27,029 28,786 30,801 50,000

20,272 21,589 23,100 40,000
16,217 17,271 18,480 30,000
63,518 67,646 72,382 20,000
10,000
26,432 26,418 26,405
-
2000 2001 2002 2003 2004
45,195 49,864 55,216
Calm Surf Skill 2000
33.4% 34.6% 35.9%

2003 2004 2005 Net profi t and Net Profi t Margin

0.4255 0.4255 0.4255 60,000
0.3191 0.3191 0.3191
0.2553 0.2553 0.2553 50,000

40,000
0.4255 0.4255 0.4255
0.3191 0.3191 0.3191 30,000

0.2553 0.2553 0.2553 20,000

10,000

-
e same for all years 1 2 3 4 5

Net profit Net profit Margin

# Sensitivity: Internal
# Sensitivity: Internal
aph for sales products

2003 2004 2005

Skill 2000

t Profi t Margin
37.0%
36.0%
35.0%
34.0%
33.0%
32.0%
31.0%
30.0%
29.0%
28.0%
27.0%
4 5 6

Net profit Margin

# Sensitivity: Internal