A. What is you ANumber?  (it has an A followed by eight digi…

A. What is you ANumber?  (it has an A followed by eight digits…   12345678) Your cousin has borrowed $(123456) in student loans at 7.2% interest.  The loan is monthly for 10 years. B.  What is the monthly payment? C.  Use the last 2 digits  from you A number (A78) and calculate the balance of the loan after that payment. D.  Properly amortize the next 2 payments. (+8 if correct, -5 if amortization table is not correct)  

BBQ King is planning for a $5 Million capital expendature ne…

BBQ King is planning for a $5 Million capital expendature next year.  Their target capital structure is 60% Debt and 40% Equity. Net income is expected to be $3 Million.  The firm follows a strict residual dividend policy.   A. How much will the firm have available for Dividends? B.  What is the Dividend Payout Ratio?

An initiative has started that will increase sales by 8%.  T…

An initiative has started that will increase sales by 8%.  The firm has plenty of excess capacity to handle the added sales.  Your firm has the following information: Exhibit 1. Income Statement. Year Ended Fall 2025. Sales $40,118,000   Variable Operating Costs $16,542,000   Fixed Operating Costs $19,898,000 Operating Profit $3,678,000 Interest Expense $634,608 Taxable Income $3,043,392 Tax Expense $958,668 NET INCOME $2,084,724     Exhibit 2. Balance Sheet. Fall 2025. Current Assets:   Cash $789,000   Receivables $3,901,000   Inventory $3,002,000   Short term investments  $1,209,000 Total Current Assets $8,901,000   Net Fixed Assets $10,203,000 TOTAL ASSETS $19,104,000 Liabilities:     Payables $2,109,000   Short Term Notes $1,932,000   Accrued Expenses $1,200,000 Total Current Liabilities $5,241,000   Long Term Debt $4,895,000 Total  Liabilities $10,136,000   Common Stock $6,000,000   Retained Earnings $2,968,000 Total Equity $8,968,000 TOTAL LIAB. + EQUITY $19,104,000 ..Consider the Additional Financing Needed Formula (AFN)  A.   What is the Value of A*? B.  What is the vaue of L*? C.   How much additional financing is needed?    

Using your A number (A123456)  and A(78) Big Buey has annual…

Using your A number (A123456)  and A(78) Big Buey has annual demand of (A123456).  Each order costs $(A78).  The annual holding cost per unit per year is $2.25.  Because of recent delays in delivery by the supplier, the VP of Production has raised the safety stock to 500 units.   A.  What is the Economic Order Quantity (q*)? B.  How many orders are placed each year? C.  What is the average inventory (including the safety stock)? D.  What is the Total Inventory Cost when ordering the Economic Order Quantity (given the safety stock)?  

Calculate the Effective Rate for the following Loan offers A…

Calculate the Effective Rate for the following Loan offers A.  Cost of Bank Loans: $100,000 at 8% Quoted Rate, 1 Year? B.  Simple Annual Interest, 8% quoted rate compounded Quarterly for a 1-Year Loan.? C.  8% Discount Interest, 1 Year? D.  8% Discount Interest, 10% Compensating Balance, 1 Year? E.  1-Year Installment Loan, 8% “Add-On”? F.  You NEED $100,000 to finance a new piece of equipment.  The bank is offering loan terms that include a 10% compensating balance with a 6% Discount Interest Loan.    HOW Much must you borrow from the bank to purchase the equipment and how much interest will you pay?