PAYBACK, NPV, IRR, CM - DIABETES CENTER OF EXCELLENCE MID - ATLANTIC MEDICAL CENTER Year 1 2 3 4 5 "Build" Net Cash Flows $(537,652) $ (71,589) $ 151,059 $ 243,321 $ 194,598 $212,574 Model $(537,652) $(609,241) $(458,183) $(214,862) $ (20,264) $192,311 Cumulative Cash Flows Joslin $(537,652) $(198,837) $ 55,986 $ 251,776 $ 271,638 $288,381 "Buy" Net Cash Flows Model Cumulative Cash Flows $(537,652) $(736,489) $(680,504) $(428,727) $(157,089) $131,292 Discount Rate 4% Risk Adjustment Discount 5% Payback Year NPV IRR "Build" 4.1 $ 68,026 8.3% Model Joslin "Buy" 4.5 $ 15,974 4.6% Model Appendix J (continued) Payback, NPV, and IRR Analysis Assumptions
PAYBACK, NPV, IRR, CM - DIABETES CENTER OF EXCELLENCE MID - ATLANTIC MEDICAL CENTER Year 1 2 3 4 5 "Build" Model Net Cash Flows $(537,652) $ (71,589) $ 151,059 $ 243,321 $ 194,598 $212,574 Cumulative Cash Flows $(537,652) $(609,241) $(458,183) $(214,862) $ (20,264) $192,311 Joslin "Buy" Model Net Cash Flows $(537,652) $(198,837) $ 55,986 $ 251,776 $ 271,638 $288,381 Cumulative Cash Flows $(537,652) $(736,489) $(680,504) $(428,727) $(157,089) $131,292 Discount Rate 4% Risk Adjustment Discount 5% Payback Year NPV IRR "Build" Model 4.1 $ 68,026 8.3% Joslin "Buy" Model 4.5 $ 15,974 4.6% Appendix J (continued) Payback, NPV, and IRR Analysis Assumptions
BuildvsBuyDiabetes(2).docx