User Account

All Pages

Find the present value and net present value of cash flows

Assignment Help Financial Accounting
Reference no: EM131085835

Figuroa Corp
Balance Sheet
FYE 12/31/2015

Assets:

2015

2014

Current Assets

Cash

13407

6135

Accounts Receivable

30915

28419

Inventory

56295

51163

   Total Current Assets

100617

85717

Property Plant and Equipment

525000

475000

Less Accumulated Depreciation'

-167440

-148544

Net Property Plant and Equipment

357560

326456

     Total Assets

458177

412173

Liabilities and Owners Equity

Current Liabilities

Accounts Payable

48185

45166

Notes payable

18257

17773

  Total Current Liabilities

66442

62939

Long Term Debt

39000

44000

Total Liabilities

105442

106939

Owners Equity

Common Stock &

Paid in Capital

50000

45000

Retained Earnings

302735

260234

Total Owners Equity

352735

305234

Total Debt and O/E

458177

412173

Figuroa Corp
Income Statement
FYE 12/31/2015

Sales

925000

Cost of Goods Sold

735000

Depreciation

18896

Fixed Costs

45000

   Earnings Before Interest and Taxes

126104

       Interest

3500

         Taxable Income

122604

             Income Tax

22604

                Net Income

100000

Dividends Paid

57499

Additions to Retained earnings

42501

1. For the Financial Statements above, compute the Operating Cash Flow, Cash Flow from Assets, Cash Flow to Creditors and Cash Flow to Stockholders for FYE 2016

2. For the Financial Statements above identify each relevant item as a Source or Use of Cash.  Prepare an analysis to determine the net change in cash between 2014 and 2015.

3. For the financial statements above, determine the following ratios:  Accounts Receivable Turnover, Day Sales in Inventory,  Debt/Equity Ratio, Current Ratio, and the Equity Multiplier

4. Assume you are going to buy a car.  The price of the car is $40,000.  The finance company requires a 20% down payment and will finance the car at  7.25%/annum for 5 years with the first payment on the car due one month from Delivery.  What is the monthly payment on the car?

What is the Effective Annual Interest Rate on the Loan?

5. Find the Present Value and Net Present Value of the following cash flows using 12% as a discount rate

CF 0

-425000

CF1

85000

CF2

85000

CF3

75000

CF4

65000

CF5

75000

CF6

75000

CF7

95000

CF8

95000

CF9

95000

CF10

95000

Reference no: EM131085835

Questions Cloud

What are three improvements in the us economy that she wants : When did Federal Reserve chair Janet Yellen say an interest rate increase may be coming, if at all? What are three improvements in the U.S. economy that she wants to see before deciding on increasing interest rates?
Discuss if think terminating a employee for policy violation : Discuss if you think terminating an employee for a policy violation is justified. Which policies would you fire someone over, which would you provide a warning first?
Define standard curve as used in spectrophotometry : What factors determines the forces that a particle experience during centrifugation - Write the chemical reaction catalysed by glutamyl decarboxylase and indicate the coenzymes involved in the process.
Calculations of cpi : What factors are considered in calculations of CPI? Explain your answer. Where would you find data on CPI and PPI in the United States? What does the current level of inflation tell you about the state of the US economy?
Find the present value and net present value of cash flows : Find the Present Value and Net Present Value of the following cash flows using 12% as a discount rate. Prepare an analysis to determine the net change in cash between 2014 and 2015.
Effect of expanding state medicaid roles : Explore and explain whether the patients will be able to continue with their physicians and the rationale behind the plan cancelation. Additionally, identify the effect of expanding state Medicaid roles and the impact it has upon cost and non-reim..
Discuss main steps that management could take in order : From the e-Activity, review the main factors that challenge the realization of IT value within health care organizations. Next, select one (1) health care provider, and discuss the manner in which the chosen organization assesses the value of IT i..
What is the percent ionization of this acid : What is the percent ionization of this acid?
Quantity supplied and the price of the good : What is the entire relationship between the quantity supplied and the price of the good?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare the journal entries

Write the journal entries to reflect the percentage-of-completion method

  Why does management believe that fixed costs will persist

Why does management believe that the fixed costs will persist at $4,000 even though the mine is temporarily closed - what sales volume per month will the company be indifferent between continuing to operate the mine and closing it?

  What was the required investment for the project

The required rate of return used for the NPV calculation was 10 percent. The project was expected to produce annual after-tax cash flows of $10,000. What was the required investment for the project?

  How much will oxford engineerings total profits change

How much will Oxford Engineering's total profits change if they decide to buy the starter assembly from Tidnish Electronics instead of making it themselves?

  An employee regularly earns

An employee regularly earns $15 per hour for an 8 hour day with time and a half for overtime hours. Assuming that the employee works a 12 hour day, the total amount of overtime premium is

  How much cash was received for services provided

Unearned Revenue had a balance of $1,120 at the end of November and $890 at the end of December. Service Revenue was $4,600 for the month of December. How much cash was received for services provided during December?

  Egger manufacturing company is a small bookbinder using

egger manufacturing company is a small bookbinder using machine-hours mh as the single indirect-cost rate to allocate

  Prepare a complete depreciation schedule

Swanson & Hiller, Inc., purchased a new machine on September 1, 2012 at a cost of $108,000. The machine’s estimated useful life at the time of the purchase was five years, and its residual value was $8,000. Prepare a complete depreciation schedule, b..

  Annual revenue from pottery sales

He estimates his entrepreneurial talents are worth $3,000 per year. Total annual revenue from pottery sales is $72,000-2 points

  Calculate purchase-price variances for the fourth quarter

Calculate purchase-price variances for the fourth quarter and for the year. How much of the price vari- ance is attributable to changes in foreign currency exchange rates?

  Examine the two operating statements in detail

Examine the two operating statements in detail, paying particular attention to the lines on which changes in net position and changes in fund balances are reported and develop a list of reasons why the two numbers are not the same.

  Comparative balance sheets and an income statement

comparative balance sheets and an income statement for Namekagon Corporation

Free Assignment Quote

Assured A++ Grade

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd