Noma plans to save $4,400 per year for the next 35 years. If she can earn an annual interest rate of 10.2 percent, how much will she have in 35 years?
During the year, Pharr Corporation had sales of $459,000. Co…
During the year, Pharr Corporation had sales of $459,000. Costs were $388,000 and depreciation expense was $102,800. In addition, the company had an interest expense of $79,250 and a tax rate of 21 percent. What is the operating cash flow for the year? Ignore any tax loss carry-forward provisions.
Vaca Books has a net profit margin of 5.1 percent, a total a…
Vaca Books has a net profit margin of 5.1 percent, a total asset turnover of 1.84, and a return on equity of 16.2 percent. What is the debt-equity ratio?
Your credit card company charges you 1.25 percent per month….
Your credit card company charges you 1.25 percent per month. What is the APR on your credit card?
Which one of the following must be true if the sustainable g…
Which one of the following must be true if the sustainable growth rate will be greater than the internal growth rate?
Dandelion Fields has a Tobin’s Q of .96. The replacement cos…
Dandelion Fields has a Tobin’s Q of .96. The replacement cost of the firm’s assets is $225,000 and the market value of the firm’s debt is $101,000. The firm has 20,000 shares of stock outstanding and a book value per share of $2.09. What is the market-to-book ratio?
Last year, which is used as the base year, a firm had cash o…
Last year, which is used as the base year, a firm had cash of $52, accounts receivable of $223, inventory of $509, and net fixed assets of $1,107. This year, the firm has cash of $61, accounts receivable of $204, inventory of $527, and net fixed assets of $1,216. What is this year’s common-base-year value of inventory?
Hello Robin! has accounts receivable of $4,511, inventory of…
Hello Robin! has accounts receivable of $4,511, inventory of $1,810, sales of $138,609, and cost of goods sold of $64,003. How many days does it take the firm to sell its inventory and collect the payment on the sale assuming that all sales are on credit?
Baskar Production is currently operating at 84 percent of ca…
Baskar Production is currently operating at 84 percent of capacity. Annual sales are $28,400 and net income is $2,250. The firm has current liabilities of $2,700, long-term debt of $9,800, net fixed assets of $16,900, net working capital of $5,000, and owners’ equity of $12,100. All costs and net working capital vary directly with sales. The tax rate and net profit margin will remain constant. The dividend payout ratio is constant at 40 percent. How much additional debt is required if no new equity is raised and sales are projected to increase by 12 percent?
Currently, a firm has a benchmark PE of 11.7 and an EPS of $…
Currently, a firm has a benchmark PE of 11.7 and an EPS of $3.20. Earnings are expected to grow 3.2 percent annually. What is the implicit rate of return?