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Bullock Gold Mining Case Study Solution Seth Bullock the owner of Bullock Gold Mining is assessing a brand new cash cow in South Dakota Dan Dority the business s geologist has actually simply completed his analysis of the mine website He has actually approximated that the mine would be efficient for 8 years after which the gold partial
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Closing Case BULLOCK GOLD MINING Seth Bullock the owner of Bullock Gold Mining is evaluating a new gold mine in South Dakota Dan Dority the company s geologist has just finished his analysis of the mine site He has estimated that the mine would be productive for eight years after which the gold would be completely mined
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1 Construct a spreadsheet to calculate the payback period internal rate of return and net present value of the proposed mine Payback Period The project will be paid back in the fifth year IRR = IRR B4 B13 < this is the cash flows in Excel table = % or % NPV = NPV 12% B5 B12 B4 = $139 740 2
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