Bethesda Mining Company
8 pages of double-spaced content with 2 references in APA format. Content from Corporate finance (10th ed.). Written in 2016. Word docx format including charts, tables, and calculations. Written by DBA candidate. 4.0 grade.
Bethesda is a coal mining company that has been affected by environmental regulations. Growing demands for coal and pollution reduction technologies have created a market demand for high-sulfur coal (Ross, Westerfield, & Jaffe, 2013). To fulfill a potential purchase order, Bethesda is considering opening a new location. The company’s management is trying to determine if there is value in taking the contract and opening the new location.
The Bethesda Mining mini case asks to provide calculations of the payback period, profitability index, net present value, and internal rate of return for the new strip mine.