Fin 515 Final Exam

According to the conditions above, what should their monthly payment be? If Kelsey and Cody do not send their payment in on time, what will the following month’s payment be?

b.What are the amounts and timing of the acquisition investment’s free cash flow from 2013 through 2022?

9. What is the Cost of Debt, before and after taxes? Using the interest rate for the largest debt…cannot use the weighted interest rate for the debt since it includes capital lease obligations with no stated rate and could not find in the notes to the financials. 5.4% After tax cost is .054 x (1-.36) = 3.5%

In April of 1979, a U.S. court finds the Beatle 's former manager _________ guilty of tax evasion and he is sentenced to serve two months of a two-year sentence in prison.

1. If Middlesex increases its cash dividends in 2012 at the same rate of growth as its Net Income rate, what will be the total 2012 dividend payout in Dollars?

6. Calculate the total cost of each system over a five-year period (cash flow), by year.

An amount equal to 90% of the tax for the taxable year calculated by annualizing the taxable income received for the months in the taxable year ending before the month which the installment is required

9. You want to purchase a business with the following cash flows. How much would you pay for this business today assuming you needed a 14% return to make this deal?

-Martin Industries just paid an annual dividend of $1.30 a share. The market price of the stock is $36.80 and the growth rate is 6.0 percent. What is the firm's cost of equity?

Using the Internet or Strayer databases, choose two (2) different companies, and research the components of their respective working capital structures.

iii. Prepare a basic discounted cash flow analysis; i.e. compute incremental cash flows and a terminal value, and discount them at a weighted average cost of capital. Can you do a multiples-type analysis here as well?

a. What risk-free rate and risk premium did you use to calculate the cost of equity?

Another competitor to consider is Stars Campus Solutions. STARS® is a cloud-based campus management system that securely and reliably maintains operational data for colleges and schools. STARS® school information system manages the entire student life cycle from lead to placement. Key school performance data is available at your fingertips! The reliability of the STARS school management system is unparalleled. (Solutions, 2013)

In this assignment you will demonstrate your understanding of capital investment techniques by evaluating the following three case studies.

3. Using the data provided by the simulation model presented in the case and your personal assessment, what capital structure would you recommend to Diageo?