The funds invested in current assets are termed as
Q: Differentiate between Reserve capital and Capital Reserve on the basis of time when it can be used.
A: Capital: It refers to the funds raised to support the business. It is the difference between the…
Q: The ratio establishes the relationship between fixed assets and long-terms funds is [A] current…
A: Financial ratios are used to interpret the financial statements. Each financial ratio helps in…
Q: Summarize the sources and uses of funds according to the changes in account activities?
A: The fund flow statement reveals the volume of financial transactions and explains the flow of funds…
Q: Give two examples of capital receipts which are directly added to the capital fund.
A: A capital receipt is a receipt for the business that either create a liability or results in the…
Q: Cash flow analysis is based on the [A] capital [B] fixed assets [C] cash concept of funds [D]…
A: Asset: It refers to the resources owned by the business in both tangible and intangible forms.
Q: What is meant by statement of net position of proprietary funds?
A: Proprietary funds: They are funds used in governmental accounting to record the activities that…
Q: The cash flows from investment activities portion of the statement of cash flows would comprise the…
A: The Answer :
Q: What is the nature of the account Fund balance with Treasury? When is that account debited, and when…
A: Nature of accounts helps management to record the financial transactions as per double entry system…
Q: Define capital components
A: It is the discounted rate that has been calculated by the company on the basis of which present…
Q: Net Present Value
A: Net Present Value is a method of evaluation of investment alternatives in capital budgeting. This is…
Q: Explain the meaning and composition of the "return" of a financial investment
A: Financial Investment Funds invested for the purpose of earning returns over a specified period of…
Q: What assets are viewed as current financial resources?
A:
Q: Explain the Principle of Investing in Financial Assets?
A: Securities are the financial assets that are traded in the financial or secondary or securities…
Q: Distinguish between the following measures of invested capital, and briefly explain when each should…
A:
Q: Define Net cash flows from financing activities.
A: Net cash flow from financing activities is the difference between Cash inflows from the financing…
Q: Describe the capital investments methods.
A: Capital budgeting: Capital budgeting is a process by which the management can plan and evaluate the…
Q: allocated to a capital
A: Company Allot share after Receiving Application If Application is oversubscribed then Company can…
Q: Define statement of cash flows.
A: Cash flow statement refers to the financial statement which shows changes in balance sheet and…
Q: t are the long-term sources of finance? Give various sources from which the long-term funds can be…
A: Step 1 The financial market, specialized financial institutions, banks, non-bank financial…
Q: The funds invested in current assets are termed as
A: Working capital (WC) is the amount that arises from the difference of current assets (CA) and…
Q: An investment property is considered to generate cash flows that are?
A: Investment property can be defined as the property consisting of land or building which is not…
Q: Working Capital Management is concerned with management of Select one: a. Long term capital b.…
A: Working capital management helps to ensure smooth operations of the business.
Q: Explain the difference between capital assets, capital investments, and capital budgeting.
A:
Q: What is Capital Fund? How is it calculated?
A: Capital Fund: It is the Excess of assets over liabilities for non profit organisations is termed as…
Q: Explain Cash flows classified as financing activities?
A: Financing activity is a part of cash flow statement. Cash flow from financing activity shows the…
Q: Identification of Relevant Cash Flows
A: Identification of Relevant cash flows is to be done for any new project evaluation. All cash flows…
Q: Describe the changes in balance sheet accounts that would constitute sources of funds. What changes…
A: The question is based on the concept of constituents of fund flow statement, the statement is…
Q: Net Income is a ( SOURCE / USE) of funds.
A: Net income is the amount of profit that is arrived by paying all expences from sales or revenue. In…
Q: In funds flow statement, repayment of long-term loans is [A] application of fund [B] source of cash…
A:
Q: Explain cash inflows from capital investments.
A: Cash inflows from Investing activities Sale or purchase of company's long term assets like fixed…
Q: compare ordinary assets from capital assets
A: Ordinary Assets:- A per tax code Ordinary Assets are the assets which are held by the tax payer for…
Q: List some common cash outflows from capital investments.
A: Cash outflows from capital investments: 1) Purchase of Land, Buildings, Plant,vehicles etc. There is…
Q: How do you find historical returns and benchmarks on different funds?
A: Historical returns are based on the historical data of the company which portrays how the security…
Q: Define cash flows from financing activities.
A: Definition: Statement of cash flows: This statement reports all the cash transactions which are…
Q: Report cash flows from financing activities.
A: The cash flow statement is prepared by the company to calculate the net amount of increase or…
Q: Classify following cash flows as operating, investing, or financing activities. Cash received as…
A: Statement of cash flow: It refers to a financial statement that shows all the cash payments and…
Q: List some common cash inflows from capital investments.
A:
Q: How are the sources of funds indicated?
A: firms can be evaluated using three financial statements: balance sheet income statement cashflow…
Q: How can we check the balance sheet to determine the extent to which borrowed funds have been used to…
A: Borrowed capital refers to money which is borrowed from others to make an investment in form of…
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- AFN EQUATION Refer to problem 17-1 and assume that the company had 3 million in assets at the end of 2018. However, now assume that the company pays no dividends. Under these assumptions, what additional funds would be needed for the coming year? Why is this AFN different from the one you found in problem 17-1?Investment reporting O'Brien Industries Inc. is a hook publisher. The comparative unclassified balance sheets for December 31, Year 2 and Year 1 follow. Selected missing balances are shown by letters. Brien Industries Inc. Balance Sheet December 31, Year 2 and Year 1 Dec. 31, Year 2 Dec 31, Year 1 cash 233,000 220,000 Accounts receivable (net) 136,530 138,000 Available for sale investments (at cost)Note 1 a 103,770 Less valuation allowance for available-for-sale investments b. 2,500 Available for-sale investments (fair value) c 101,270 Interest receivable d Investment in Jolly Roger Co. stockNote 2 e. 77,000 Office equipment (net) 115,000 130,000 Total assets f. 666,270 Accounts payable 69.400 65,000 Common stock 70.000 70,000 Excess of issue price over par 225,000 225,000 Retained earnings g 308,770 Unrealized gain (loss) on available for-sale investments h. (2,500) Total liabilities and Stockholders equity i. 666,270 Note 1. Investments are classified as available for sale. The investments at cost and fair value on December 31, Year 1, are as follows: No. of Shares Cost per Share Total Cost Total Fair Value Bernard Co. stock 2,250 17 38,250 37,500 Chadwick Co. stock 1,260 52 65,520 63,770 103,770 101,270 Note 2. The investment in Jolly Roger Co. stock is an equity method investment representing 30% of the outstanding .shares of Jolly Roger Co. The following selected investment transactions occurred during Year 2: May 5. Purchased 3,080 shares of Gozar Inc. at 30 per share including brokerage commission. Gozar Inc. is classified as an available-for-sale security. Oct. 1. Purchased 40,000 of Nightline co. 6%, 10-Year bonds at 100. The bonds are classified as available for sale. The bonds pay interest on October 1 and April 1. 9. Dividends of 12,500 are received on the Jolly Roger co. investment. Dec. 31 Jolly Roger co. reported a total net income of 112,000 for year 2. O'Brien industries Inc. recorded equity earnings for its share of Jolly Roger co. net income. 31. Accrued three months of interest on the Nightline bonds. 31. Adjusted the available-for-sale investment portfolio to fair value, using the following fair value per-share amounts: Available-for-Sale Investments Fair Value Bernard Co. stock 15,40 per share Chadwick Co. stock 46,00 per share Gozar Inc. stock 32,00 per share Nightline Co. bonds 98 per 100 of face amount Dec. 31. Closed the OBrien Industries Inc. net income of 146,230. O'Brien Industries Inc. paid no dividends during the year. Instructions Determine the missing letters in the unclassified balance sheet. Provide appropriate supporting calculations.CH. 3 #9 Recompute the net present values using (a) a cost of money of 0.20 and (b) a cost of money of 0.05 for each of the investments of problem 8.
- MC Qu. 9 What amount of cash would result at the end ...What amount of cash would result at the end of one year, if $16,000 is invested today and the rate of return is 8%? (Do not round your PV factors.)a-$16,000b-$17,120c-$17,280d-$14,720ReferencesMultiple ChoiceMC Qu. 9 What amount of cash would result at the end ... Please don't provide answer in image format thank youBlock 2/2018/ 3 Ernst Schlau considers the reserve items of a balance sheet acc. § 266 para. 3 A. II. and A. III. HGB. How are hidden reserves (synonymous hidden reserves) visible from the balance sheet? Explain to Ernst Schlau what is meant by hidden reserves and how these items can be seen from the balance sheet! Give a typical example of a hidden reserve!Q.1 Cash flows for two mutually exclusive projects are shown below: Year CFM CFN 0 -200 -200 1 85 60 2 85 85 3 85 110 Both projects have a cost of capital of 10%. e(i). Calculate the MIRR for CFm projects.
- Q. 12. Consider a Financial Institution with the following assets and liabilities. Asset A has a maturity of 2 years and a market value of $50,000 and asset B has a maturity of 7 years and a market value of $80,000. Liability A has a maturity of 3 years and a market value of $40,000 and liability B has a maturity of 9 years and a market value of $10,000. What is the maturity gap of this FI (round your answer to two decimals)? a. 0.88 years. b. - 5 years. c. 5 years. d. 3.88 years. e. -1.47 yearsQ.1 Cash flows for two mutually exclusive projects are shown below: Year CFM CFN 0 -200 -200 1 85 60 2 85 85 3 85 110 Both projects have a cost of capital of 10%. b (i). Calculate the discounted payback for CFm projectH1. Question 4. Calculate the Current assets from the following: Current liabilities $35978, Current ratio 3. a $11992.70 b $11900 c $107934
- Initial Outlay Cash Flow in Period 1 2 3 4 $4,000,000 $1,546,170 $1,546,170 $1,546,170 $1,546,170 The Internal Rate of Return (IRR) =? A) 10%. B) 18%. C) 20%. D) 24%.CH 4 Q8 practice Calculate the IRR of each investment using A,B,C,D,EQuestion content area top Part 1 (Related to Checkpoint 6.6) (Present value of annuities and complex cash flows) You are given three investment alternatives to analyze. The cash flows from these three investments are as follows: Investment Alternatives End of Year A B C 1 $ 14,000 $ 14,000 2 14,000 3 14,000 4 14,000 5 14,000 $ 14,000 6 14,000 70,000 7 14,000 8 14,000 9 14,000 10 14,000 14,000 (Click on the icon in order to copy its contents into a spreadsheet.) Assuming an annual discount rate of 15 percent, find the present value of each investment. Question content area bottom Part 1 a. What is the present value of investment A at an annual discount rate of 15 percent?…
