Exercise Drill No. 1: Return of capital and Return on capital Indicate the amount representing return of capital or return on capital: Return OF Capital Consideratio Return ON For the loss of Capital P 1,000,000 Health P 500,000 P 400,000 car P 300,000 P 350,000 building 600,000 Income P 1.200.000 Life 1. 2. 3. 4. 5.
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- E(r) D CO F E 0² Exercise #2 (Slide 23; Chapter 6; Four Elements of the Capital Allocation Line) a) Horizontal Axis: 222 b) c) Intercept: 222 d) Slope: ??? Vertical Axis: ???DH6lrhASVQzjByGv4Wf_8WKglaeeHFzhyB6CgmapA/viewform?hr_submission=DChklml285dcLEhAli7Loq- an increase in the asset Diğer: 13- Capital is 5 puan an owner's permanent investment in the business equal to liabilities minus owner's equity equal to assets minus owner's equity equal to liabilities plus withdrawals 14- Jo Smith is the owner of Smitty's, a retailer of athletic apparel. When 5 puan recording the financial transactions of the business, Jo does not record an entry for a car she purchased for personal use. Jo took out a personal loan to pay for the car.Which one of the following explains her behavior? Pay back concept Economic entity assumption Accrual basis concept Monetary unit assumption Diğer: A.LiabilitiesOMRAssetsOMRShare capital400,000Land and building280,000Net profit60,000Plant and machinery700,000General reserve80,000Stock400,000Debentures840,000Debtors200,000Creditors200,000Bills receivables20,000Bills payable100,000Cash80,000Total1,680,000Total1,680,000 1>calculate total current liabilites 2>calculate total Current assets
- Home NPV-Mutually exclusive projects Hook Industries is considering the replacement of one of its old metal stamping machines. Three alternative replacement machines are under consideration. The relevant cash flows associated with each are shown in the following table: . The firm's cost of capital is 14%. se Options a. Calculate the net present value (NPV) of each press. b. Using NPV, evaluate the acceptability of each press. c. Rank the presses from best to worst using NPV. d. Calculate the profitability index (PI) for each press. e. Rank the presses from best to worst using PI. ar a. The NPV of press A is $ (Round to the nearest cent.) The NPV of press B is $ (Round to the nearest cent.) The NPV of press C is $ (Round to the nearest cent.) b. Based on NPV, Hook Industries should V press A. (Select from the drop-down menu.) Based on NPV, Hook Industries should V press B. (Select from the drop-down menu.) Enter your answer in each of the answer boxes. P Type here to search hpQuestion 10 of 25 Based on the following data, what is the amount of working capital? Accounts payable Accounts receivable Cash Intangible assets Inventory Long-term investments Long-term liabilities Short-term investments Notes payable (short-term) Property, plant, and equipment Prepaid insurance $404240 O $411680 > O $458800 $79360 141360 86800 124000 171120 198400 248000 99200 69440 1661600 2480Financial Plan Components Cost Weights Weighted Cost A Debt 7.15% ? ? A Equity 5.15% 55% ? Weighted Average Cost of capital FIND B Debt 9.90% 60% ? B Equity 11.50% ? ? Weighted Average Cost of capital FIND C Debt 150000 7.15% ? ? C Equity 450000 5.15% ? ? Weighted Average Cost of capital FIND D Debt 300000 7.15% ? ? D Equity 300000 5.15% ? ? Weighted Average Cost of capital FIND Q1) Find Weighted Average capital for financial Plan C Q2) Find Weighted Average capital for financial Plan D Q3) Find Weighted Average capital for financial Plan A Q4) Find Weighted Average capital for financial Plan B
- ACCOUNTING ASAP Assume the following data: EBIT = 100; Depreciation = 40; Interest = 20; Dividends = 10. Calculate the cash coverage ratio. Select one: a. 7.0x b. 4.7x c. 14.0x d. 5.0xPLS HELP ASAP The balance sheet of Sunrise Company shows that capital P360,000 is equal to ⅓ of its total assets. How much is total liabilities? a. P480,000 b. P720,000 c. P1,080,000 d. P120,0002. Compute the IRR for the investment represented by the following cash flow table: Year 1 4 6. 7. Cash Flow -1200 +350 +300 +250 +200 +150 +100 +50 (in $1000's)
- The management of Unter Corporation, an architectural design firm, is considering an investment with thefollowing cash flows:Year Investment Cash Inflow1 ......................... $15,000 $1,0002 ......................... $8,000 $2,0003 ......................... $2,5004 ......................... $4,0005 ......................... $5,0006 ......................... $6,0007 ......................... $5,0008 ......................... $4,0009 ......................... $3,00010 ......................... $2,000Required:1. Determine the payback period of the investment.2. Would the payback period be affected if the cash inflow in the last year were several timesas large?4G e 1:E. OMANTEL Marked out of 1.00 P Flag question Wealth Maximisation comes under objective of financial managment a. Research Objectives b. None c. Operational Objectives d. Basic objectives e. Social Objectives Next page Chapter 1 Activity1Instruction: Use the table below to acquire information and answer the following questions. Please do not use signs like Rs., $, % etc in your answer. If you calculate percentage as 10.23% than answer must write like 10.23 only (do not write like 10.23% or 0.1023) Year 0 1 2 3 4 Cash flows −$950 $525 $485 $445 $405 Ms ABC is considering an opportunity of a new investment that has the following cash flow and weighted average cos of capital is 13 percent. What is the project's discounted payback in years? Answer should correct up to 2 decimal places. Ms ABC is considering an opportunity of a new investment that has the following cash flow and weighted average cos of capital is 13 percent. What is the project's net present value? Ms ABC is considering an opportunity of a new investment that has the following cash flow and weighted average cos of capital is 13 percent. What is the project's profitability index? Answer should correct up to 2…