Reference no: EM131063328
Chapter 2
Question 1. Building a Balance Sheet Bishop, Inc., has current assets of $5,700, net fixed assets of $27,000, current liabilities of $4,400, and long-term debt of $12,900. What is the value of the shareholders' equity account for this firm? How much is net working capital?
Question 2. Building au Income Statement Travis, Inc., has sales of $387,000, costs of $175,000, depreciation expense of $40,000, interest expense of $21,000, and a tax rate of 35 percent. What is the net income for the firm? Suppose the company paid out $30,000 in cash dividends. What is the addition to retained earnings?
Question 3. Calculating OCF Ranney, Inc., has sales of $18,700, costs of $10,300, depreciation expense of $1,900, and interest expense of $1,250. If the tax rate is 40 percent, what is the operating cash flow, or OCF?
Question 4.Calculating Total Cash Flows Schwert Corp. shows the following information on its 2012 income statement: sales = $185,000; costs = $98,000; other expenses = $6,700; depreciation expense = $16,500; interest expense = $9,000; taxes = $19,180; dividends = $9,500. In addition, you're told that the firm issued $7,550 in new equity during 2012 and redeemed $7,100 in outstanding long-term debt.
a. What is the 2012 operating cash flow?
b. What is the 2012 cash flow to creditors?
c. What is the 2012 cash flow to stockholders?
d. If net fixed assets increased by $26,100 during the year, what was the addition to net working capital (NWC)?
|
Company estimates its cost of vendor financing
: A company estimates its cost of vendor financing (using its vendor as its banker) is 12.2%. It also estimates its effective cost of bank financing to be 9.1%. Which statement best describes this situation?
|
|
Central-peripheral and autonomic nervous systems
: Please answer the following questions in at least one paragraph per question, using complete sentences. Make sure to list all references. Select a part of any of the Central, Peripheral, and Autonomic Nervous systems that interests you (i.e., ce..
|
|
Manufacturers to significantly lower their production cost
: _____ is often used by manufacturers to significantly lower their production cost. It gives them the ability to produce in a level production mode year round, rather than running two or three shifts at the peak of their demand cycle.
|
|
Find the equilibrium price of an allowance and the quantity
: Each member of the competitive fringe chooses how much (dirty) energy to generate, qf∈ R+, which determines how many allowances it must purchase
|
|
Building a Balance Sheet Bishop
: Question 1. Building a Balance Sheet Bishop, Inc., has current assets of $5,700, net fixed assets of $27,000, current liabilities of $4,400, and long-term debt of $12,900. What is the value of the shareholders' equity account for this firm? How mu..
|
|
Calculate annual end-of-year savings required for investment
: Joshua is planning for his retirement. He is in mid-thirties, has two children, and an annual income of $120,000 before taxes. Based on the information given, calculate the annual end-of-year savings required for investment during the period until re..
|
|
Explain scale and impact of financial crisis in economies
: Explain the scale and impact of financial crisis in economies of different countries including youe own country, identify some of proposed reforms
|
|
Compute the hours worked each day
: Compute the hours worked each day. (Ignore the one-minute tardiness on Friday.), the total hours worked, The regular earnings, The total earnings and The overtime earnings.
|
|
Eight elements of thought and reasoning
: There are eight elements of thought in reasoning. We often use more than one element at the same time. For example, your Point of View includes Assumptions. Therefore, we can assume that these elements are two aspects of the same thing.
|