What is the sum of the market value of NWC

Assignment Help Financial Management
Reference no: EM131577398

Klingon Widgets, Inc., purchased new cloaking machinery four years ago for $15 million. The machinery can be sold to the Romulans today for $14.2 million. Klingon’s current balance sheet shows net fixed assets of $12 million, current liabilities of $880,000, and net working capital of $225,000. If all the current accounts were liquidated today, the company would receive $1.07 million cash.

What is the book value of Klingon’s total assets today? (Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.) Book value of total assets $

What is the sum of the market value of NWC and the market value of fixed assets? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.) Sum of the market value of NWC and market value of fixed assets $

Reference no: EM131577398

Questions Cloud

Assume interest is compounded annually : What is the annual interest rate paid by the bank account? Assume interest is compounded annually.
The account at end of that time period : How much money will be in the account at the end of that time period?
What is cash flow to stockholders : If no new debt was issued during the year, what is the cash flow to stockholders??
What real amount must you deposit each year : What real amount must you deposit each year to achieve your goal?
What is the sum of the market value of NWC : What is the sum of the market value of NWC and the market value of fixed assets?
How much money have you accumulated for your retirement : How much money have you accumulated for your retirement?
What is the present value today of the cash flows : He will receive an amount of R2 000 per year. What is the present value today of the cash flows if the present value factor is 0.1?
What about the relatively high risk inherent in this project : What is your reaction to Harriet's suggestion of using the cost of debt only? What about the relatively high risk inherent in this project?
What is the average tax rate and marginal tax rate : What is the average tax rate? What is the marginal tax rate?

Reviews

Write a Review

Financial Management Questions & Answers

  Evaluate the relaxation in credit standards

Futon Company has been reviewing its credit policies.- Evaluate the relaxation in credit standards that Futon is considering.

  Information provided prepare the operating budgets

Based on the information provided prepare the following operating budgets for 2015: Sales, Production, Direct Material, Direct Labor, Manufacturing Overhead, Ending Inventory, Cost of Goods Sold, Selling, General and Administrative Budgets, and a Bud..

  Options and programs available for first time home purchase

Discuss the various options and programs available for a first time home purchase.

  About the projects payback

Assume a project has the following expected cash flows: What is the project’s payback (payback period)?

  What is louises debt payments-to-income ratio

What is Louise's debt payments-to-income ratio? Is Louise living within her means?.

  Assuming the risk profiles are identical

Assuming the risk profiles are identical, which investment, if any, do you prefer? [hint: do not over think]

  Calculating returns and variability

Calculating Returns and Variability. What is the standard deviation of the stock's returns?

  Present value of an annuity-future value of an annuity

The present value of an annuity of $8,000 per year for 25 years at 5% interest is: The future value of an annuity due of $10,000 per year for 20 years at 5% interest is: The most important components of any contract include the following EXCEPT

  After-tax cost of debt for a new issue of bonds

The coupon rate on an issue of debt is 8%. The yield to maturity on this issue is 9%. The corporate tax rate is 38%. What would be the approximate after-tax cost of debt for a new issue of bonds?

  What would be the percentage change in the price of bonds

Both Bond Bill and Bond Ted have 12.8 percent coupons, make semiannual payments, and are priced at par value. Bond Bill has 7 years to maturity, whereas Bond Ted has 24 years to maturity. If interest rates suddenly rise by 3 percent, what is the perc..

  Value bond with quarterly coupons

what should be the price of a one-year $1,000 5% par-value bond with quarterly coupons?

  Anticipated withdrawals will be covered by the investment

Morris Glass Company has decided to invest funds for the next 5 years so that development of “smart” glass is well funded in the future. Determine if the anticipated withdrawals will be covered by the investment and appreciation plans. If the withdra..

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!

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