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An investment has the following cash flow profile. For each value of MARR below, what is the minimum value of X such that the investment is attractive based on an
b. MARR is 15%/yr. c. MARR is 24%/yr. d. MARR is 8%/yr. e. MARR is 0%/yr.
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- a. (1) Current year working capital. 1,090,000 Current position analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash 391,000 300,000 Marketable securities 515,000 354,000 Accounts and notes receivable (net) 634,000 426,000 Inventories 368,000 222,000 Prepaid expenses 182,000 138,000 Total current assets 2,090,000 1,440,000 Current liabilities: Accounts and notes payable (short-term) 725,000 600,000 Accrued liabilities 275,000 300,000 Total current liabilities 1,000,000 900,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. b. What conclusions can be drawn from these data as to the companys ability to meet its currently maturing debts?Year Net cashflows 0 -575,000 1 £125,000 2 £248,000 3 £176,000 4 £146,000CP 4 Year Cash Flow 0 -$200,000 1 50,000 2 100,000 3 150,000 4 40,000 5 25,000 Calculate Payback
- 2. 7 Days' cash on hand Financial statement data for years ending December 31 for Newton Company follow: Line Item Description 20Y9 20Y8 Cash (end of year) $25,500 $24,250 Short-term investments (end of year) 8,270 9,460 Operating expenses 60,135 63,780 Depreciation expense 13,225 11,400 Determine the days’ cash on hand for 20Y8 and 20Y9. Assume 365 days in a year. Round all calculations to one decimal place. Year Days’ Cash on Hand 20Y8: fill in the blank 1 of 2 days 20Y9: fill in the blank 2 of 2 days Feedback Area Feedback Days' Cash on Hand = (Cash and Short-Term Investments) ÷ [(Operating Expenses - Depreciation Expense) ÷ 365 days] to obtain the ratio.Find the capital beginning when, Additional Income = 150,000.00 Net Income = 120,000.00 Withdrawal = 138,000.00 Capital Ending =217,000.00The Balance Sheet Of Future Inc. for December 31,20Y3 and 20Y2 1 Dec. 31, 20Y3 Dec. 31, 20Y2 2 Assets 3 Cash $155,000.00 $150,000.00 4 Accounts receivable (net) 450,000.00 400,000.00 5 Inventories 770,000.00 750,000.00 6 Investments 0.00 100,000.00 7 Land 500,000.00 0.00 8 Equipment 1,400,000.00 1,200,000.00 9 Accumulated depreciation-equipment (600,000.00) (500,000.00) 10 Total assets $2,675,000.00 $2,100,000.00 11 Liabilities and Stockholders’ Equity 12 Accounts payable $340,000.00 $300,000.00 13 Accrued expenses payable 45,000.00 50,000.00 14 Dividends payable 30,000.00 25,000.00 15 Common stock, $4 par 700,000.00 600,000.00 16 Paid-in capital: Excess of issue price over par—common stock 200,000.00 175,000.00 17 Retained earnings 1,360,000.00 950,000.00 18 Total liabilities and…
- answer in 50 minutes The following information is available from the current period financial statements: Net income $126,307 Depreciation expense 23,648 Increase in accounts receivable 16,473 Decrease in accounts payable (19,595) The net cash flows from operating activities using the indirect method is a.$126,307 b.$113,887 c.$66,591 d.$186,023Question / Money 10,000,000, retained earnings 5,000,000, millions of financial reserves 4,000,000, financial loans, 250,000 and creditors 2,000,000, 1,000,000 payment notes, what is the amount of equity at the end of the yearCalculate the unknown amounts appearing in each column. A B C Beginning Assets $50,000 $45,000 $65,000 Liabilities $30,000 $10,000 $45,000 Ending Assets $54,000 $42,000 $48,000 Liabilities $20,000 ? $15,000 During Year Sales Revenue ? $42,000 $42,000 Expenses $13,000 $35,000 $25,000 Dividends $1,500 $1,000 ?
- Days' cash on hand Financial statement data for years ending December 31 for Newton Company follow: 20Y9 20Y8 Cash (end of year) $26,530 $23,121 Short-term investments (end of year) 8,300 9,450 Operating expenses 60,210 63,365 Depreciation expense 13,125 11,900 Determine the days’ cash on hand for 20Y8 and 20Y9. Assume 365 days in a year. Days’ Cash on Hand 20Y8: fill in the blank 1 days 20Y9: fill in the blank 2 daysRevenue R100 000, Debtors (opening R50 000, closing R110 000), Calculate Cash Receipts from Customers. Select one: a. R60 000 b. R40 000 c. R110 000 d. R100 000ABC DEF GHI JKL Operating cash flow $ 13,230,000 $ 13,625,000 $ 8,020,000 $ 12,588,000 Investing cash flow (2,629,000) (2,226,000) (5,359,000) (3,945,000) Financing cash flow (8,861,000) (13,477,000) (1,840,000) (8,584,000) Change in cash $ 1,740,000 $ (2,078,000) $ 821,000 $ 59,000 There are three parts to this problem. Use Excel to complete the following: a. Use the SUM function to calculate the “Change in Cash” for each company in the Student Work Area. b. Create a separate waterfall chart for each company showing the amount of cash flow by cash flow activity and the changes in cash flow. Include a descriptive chart title, axes labels, properly formatted axes, and a legend for each chart. c. What generalizations can you make about this industry’s cash flow based on the chart in part b? Describe in general how the companies obtained its…