Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Use the following assumptions for the Capital Budgeting Model. - The same store sales growth should be estimated based upon historical movements in same store sales and your assessment of future prospects for Lowe's. - Cost of Goods Sold should be estimated as a percentage of sales. - Selling, general, and administrative expenses should be estimated as a percentage of sales. Depreciation expenses should be estimated as a percentage of sales. - Tax expense will be estimated as the past year tax expense divided by the past year per-tax earnings. - Operating Cash Flows will be equal to {(Sales - CGS - SG&A-Dep)*(1-tax rate)}+Dep. - Additional capital expenditure (needed each year to support the store's capital assets) is set equal to depreciation expense. The notion is that the company will have to re- invest money into the long-term assets at an amount equal to the depreciation of those assets each year. - Net Working Capital (NWC) is equal to total current assets less total current liabilities. - Net Working Capital (NWC) will be estimated as a percentage of sales. - Additional Net Working Capital (change from year to year in NWC) will be equal to the current year NWC less the past year NWC. - Free Cash Flows (Asset Cash Flows) will be equal to Operating Cash Flows less additional capital expenditures less additional net working capital. - The long term growth in Free Cash Flows (Asset Cash Flows) beyond 2009 will be assumed to equal 2% which considers 1% population growth plus 1% inflation. - V2009 will be estimated as, FCF09*(1+long term growth rate)/(WACC - long term growth rate). - Weighted Average Cost of Capital (WACC) is set equal to 9.5%, or 0.095 in decimal form.
Attachment:- Assignment.rar
Kaprelian Company sells desks at $480 per desk. The variable costs are $300 per desk. Total fixed costs for the period are $400,000. The contribution margin ration is ___. a.22.5% b.37.5%
Justify the selection of an appropriate allocation base, and calculate the predetermined overhead allocation rate.
During May, the production department of a process manufacturing system completed a number of units of a product and transferred them to finished goods.
Why does the statement of cash flows include "unearned revenue" as an addition to net income in the operations section? Why is "recognition of unearned revenue" included as a deduction from net income?
The Concept of a balance scorecard is the topic. While there is not necessarily one best way to view a balance scorecard, clearly the good indicators of measurement and performance go beyond financial perspectives.
requiredstudy the information given below and determine which of the two investment opportunities it should choose.
Megatech, a computer software developer, is considering a software development project that requires an initial investment of $200,000. Calculate the net present value of this project.
Calculate profit as a percent of sales for the new level of sales and explain why the percent is greater than the one calculated in part a.
Calculate the consumption ratios for each activity. Do you think that the direct labor costs and direct materials costs are accurately traced to each briefcase? Explain.
Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of, where applicable. Eghan Corporation uses straight-line depreciation.
Calculate the cost per equivalent unit of production and cost of completed units for the month of April
Explain what types of costs you plan on using to distinguish the different types of cabinets that will be produced - Examples should include direct costs items, indirect costs items, as well as variable costing.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd