The Lumber Yard has projected the sales below for the next four months. The company collects 39 percent of its sales in the month of sale, 42 percent in the month following the month of sale, 18 percent two months after the month of sale, and never collects 1 percent of its sales. How much will the company collect in April? January February March April Sales $ 137,600 $ 144,150 $ 151,975 $ 165,700

Your portfolio is invested 25 percent each in Stocks A and C, and 50 percent in Stock B. What is the standard deviation of your portfolio given the following information? State of Economy Probability of State of Economy Rate of Return if State Occurs Stock A Stock B Stock C Boom .07 .28 .14 .11 Good .55 .19 .12 .09 Poor .36 −.21 .07 .06 Bust .02 −.65 .03 −.03

JoAnn Manufacturing has projected the following sales for the coming year: Q1 Q2 Q3 Q4 Sales $ 54,600 $ 61,600 $ 69,900 $ 75,550 The company places orders each quarter that are 25 percent of the following quarter’s sales and has a 30-day payables period. What is the payment of accounts for the third quarter?

An investment earned annual returns of 7 percent, −32 percent, 11.5 percent, and 21.4 percent during the past four years. If you wish to know the compound annual rate of growth that the investment experienced, you should determine the ________, which equals ________ percent.

The primary purpose of credit analysis is to:

You are researching a company and find that it has an inventory period of 21.6 days, an accounts payable period of 34.1 days, and an accounts receivable period of 30.2 days. The company’s operating cycle is _____ days and its cash cycle is _____ days.

Scott is considering a project that will produce cash inflows of $2,900 per year for 3 years. The required rate of return is 15.4 percent and the initial cost is $6,800. What is the discounted payback period?

A project has projected cash flows of −$148,500, $32,800, $64,200, −$7,500 and $87,300 for Years 0 to 4, respectively. Should this project be accepted based on the combination approach to the modified internal rate of return if both the discount rate and the reinvestment rate are 10.5 percent? Why or why not?

The Sports Store has a $230,000 line of credit that requires 1.5 percent of the unused portion of the credit line be deposited in a non-interest-bearing account as a compensating balance. The interest rate on the borrowed funds is 2.05 percent per quarter. The Sports Store’s short-term investments are paying 1.5 percent per quarter. What is the effective annual interest rate on the line of credit if the entire credit line is borrowed for one year? Assume any funds borrowed or invested use compound interest.

All That Remains Products has projected sales for next year of: Q1 Q2 Q3 Q4 Sales $ 76,200 $ 79,925 $ 86,600 $ 93,720 The company places orders each quarter that are 54 percent of the following quarter’s sales and has a 60-day payables period. What is the accounts payable balance at the end of the third quarter?