TSW Inc. had the following data for last year: Net income = $800; Net operating profit after taxes (NOPAT) = $700; Total assets = $3,000; and Total operating capital = $2,000. Information for the just-completed year is as follows: Net income = $1,000; Net operating profit after taxes (NOPAT) = $750; Total assets = $2,600; and Total operating capital = $2,500. How much free cash flow did the firm generate during the just-completed year? Select the correct answer.   a. $240     b. $260     c. $255     d. $245     e. $250

Q: Cash price of Mazda3 2.0 Skyactiv-G is 23 751.66 €. Down payment is 7125 € and the term of the…

A: Down Payment = 7125€ Term Period =36 Months Service Fee = 6€/Payment Last Payment = 13300€

Q: An investor buys a land for PhP 1M and constructs a three-door apartment for students worth PhP 5M.…

A: Internal rate of return is a capital budgeting technique that is used by companies to decide the…

Q: Explain whether it is better for an investor to buy a discount bond and pay a price below its face…

A: Bond Issued at premium  If coupon rate is higher than the prevailing interest rates.  , it is called…

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A: The following information has been provided in the question: Amount of investment= $250,000…

Q: An existing machine in a factory has an annual maintenance cost of P40,000. A new and more efficient…

A: Present value is referred as the current value of the future amount of funds or cash flow streams,…

Q: Finance Use covered interest rate parity (CIP) to show that a fixed exchange rate and free capital…

A: Interest rate parity (IRP) is a concept that connects interest rates, spot exchange rates, and forex…

Q: Riley Co. has a DOL of 140% and a DFL of 113%. If sales decrease by 12%, what is the expected…

A: Solution: We know, Degree of Operating Leverage (DOL) measures the percentage change in operating…

Q: A woman expects to have $10,000 in 4 years to buy a pair of earrings. She plans to create a sinking…

A: FV Amount required = $10000   Period = 4 years pmt Amount deposited every 6 months   Fund…

Q: Explain how the parties involved in a project finance manage risk.

A: Given, The parties are involved to manage the risk in a finance project. The  finance project is a…

Q: NPV Total and Differential Analysis of Replacement Decision Assume Mitsubishi Chemical is evaluating…

A: Evaluation of the alternatives of keeping the old compressor and purchasing the new compressor.…

Q: A brand new house and lot costs Php 5M if paid in cash. On the installment plan, the buyer should…

A: House price = 5 miilion Downpayment = 5 million * 20% = 1 million Loan taken = 5 Million - 1 million…

Q: e NYSE? firm. To buy or sella stock listed on the NYSE, the investor contacts th vestors who trade…

A: NYSE refers to the New York Stock Exchange. It is one of the biggest stock exchanges in the world…

Q: You invested in the​ no-load Best Mutual Fund one year ago by purchasing 900 shares of the fund at…

A: Purchase price (NAV0) = $19.44 Dividend (D) = $1.88 Capital gain (C) = $2.12 NAV at the end of year…

Q: To help with the startup costs of his new comic book store, Pablo is taking out a $47,000 amortized…

A: The amortization schedule is used to show the periodic payment, the amount of interest, and the…

Q: You are considering taking out a loan of $10,000.00 that will be paid back over 12 years with…

A: We need to use loan amortisation formula to calculate unpaid balance of loan Unpaid balance(P)…

Q: CostaCap Corporation's capital structure (market value weights) consists of 50% common stock, 10%…

A: Capital Pre tax cost Weight Tax rate Debt 3% 40% 25% Equity 8% 50%   Preferred stock 5% 10%

Q: 8. Suppose a certain bond sold a volume of 2, 375, 000. If the bonds sold for $824.99, calculate the…

A: A bond is a debt instrument floated by a company for raising debt funds. It carries a fixed interest…

Q: Question 6. One day, a letter arrives in your mailbox. The letter comes from a trusted attorney…

A: Compound interest. FV = A ( 1 + r)n Where FV = amount avaliable including compound interest after n…

Q: You are faced with making a decision on a large capital investment proposal. The capital investment…

A: Concept. Annual worth (Aw) , ERR and IRR are capital budgeting methods used to evaluate the…

Q: XYZ Inc., the Calapan-based computer manufacturer, has developed a new all-in-one device: phone,…

A: Here, Annual Revenues is $850,000 Fixed Operating Expenses is $100,000 Variable Operating Expenses…

Q: The Hong Kong, A. Money Authority is responsible for exchange rate stability. B. Monetary D.…

A: The Hong Kong Money Authority is responsible for exchange rate stability. Therefore, the answer is…

Q: 11. Consider the actual dollar CFs of a project below. The real MARR is 3% and the general inflation…

A: Real MARR is 3% Inflation rate is 5% To Find: Discounted payback period

Q: What is the appraised value of a property that was granted an 80 percent loan-to-value ratio and has…

A: Loan is a borrowed amount taken from external sources like a bank for a specific time period.…

Q: Diol Athletics is trying to determine its optimal capital structure, which now consists of only debt…

A: Formula of Levered Beta is as follows: Levered Beta= Unlevered Beta×1+1- Tax Rate×DebtEquity

Q: Krell Industries has a share price of $22.58 today. If Krell is expected to pay a dividend of $0.87…

A: Dividend yield, capital gain and return on investment are all financial ratios an investor would…

Q: ill grant an 80 percent loan on a home with an appraised value of $328,400 at 4.75 percent annual…

A: Loans are paid by the equal monthly payments and these payments carry the payment of principal and…

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A: The purchasing power of money decreases with time. This is called time value of money. The future…

Q: Here's an example of how breakpoint discounts on sales commissions for mutual fund investors work:…

A: NAV refers to net asset value. For a mutual fund its NAV = total assets - total liabilities

Q: Debt ratio of GLOBE * STATEMENT OF FINANCIAL POSITION AND INCOME STATEMENT OF 3 COMPANIES AS…

A: Ratio is a tool which is used to measure the growth and performance of the firm by establishing the…

Q: You want to buy a $50,000 car. You can finance the car for 0.9% interest for 5 years. You decide to…

A: Solved using Financial Calculator  Assuming Interest rate is 0.9% per annum compounded monthly…

Q: 1. Determine the volatility for the following three stock portfolio

A: Standard deviation is measured to measure the volatility of the stocks in the portfolio.  Where,…

Q: Snickerdoodle Co. has EBIT of $50,000 and total financing (interest) cost of $14,000.…

A: Solution:- Degree of financial leverage (DFL) measures the ratio of Earnings before interest and tax…

Q: A loan of 40,000 Php is to be paid by equal payment at the end of each quarter for 1 year and a…

A: Loan is an amount of money borrowed from a lender. It is expected that the loan will be repaid at…

Q: 30. AllCity, Inc., is financed 40% with​ debt, 10% with preferred​ stock, and 50% with common stock.…

A: Concept. WACC is weighted average cost of capital. It is commonly referred to as firm's cost of…

Q: A $67,000 loan is taken out on a boat with the terms 9% APR for 36 months. How much are the monthly…

A: Payment per period can be calculated using PMT function in excel.   PMT(rate, nper, pv, [fv],…

Q: Operating cycle of JFC * STATEMENT OF FINANCIAL POSITION AND INCOME STATEMENT OF 3 COMPANIES AS…

A: Operating cycle is the time from beginning of the production process to collection of csh from…

Q: How much money (to the nearest dollar) will you need to deposit in an account now in order to have…

A: r = 1.2% interest compounded weekly k( discount rate per week) = 1.2/52 = 0.02307692% N = 5 years *…

Q: Consider three securities that will pay risk-free cash flows over the next three years and that have…

A: The cash flows of Security B4 can be replicated by buying 5 units of Security B1 and 2 units of…

Q: How much money be invested today in order to withdraw P1500 per year at the end of each year for 8…

A: Annual withdrawal (P) = P1500 Interest rate (r) = 8% Number of withdrawals (n) = 8

Q: 9. Aisha is looking for a $20,000 loan to buy a car. One financial institution has agreed to give…

A: Loan is a sum of amount borrowed from a lender. It is expected that the loan will be repaid at a…

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A: Solution:- When a loan is taken, it is to be either repaid as a lump sum payment or in installments.…

Q: price of a long-term (longer-maturity) bond more or less sensitive to changes in interest rates than…

A: Long term bonds are more sensitive to change in interest rates than short term bond. If Interest…

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A: The stock market refers to the collection of exchanges where the buying, selling, and trading of…

Q: An annuity loan of 120 000 € is taken for 15 years with monthly payments. The interest rate of the…

A: Time Period 15 Points in the beginning 0.90% Interest in the beginning 0.22% Interest after 1…

Q: XYZ Ltd.’s IPO was severely under-priced based on the first day’s closing price. How would it affect…

A: A stock market is generally a collection of stock exchanges or other places where the shares of a…

Q: I. Find the trade discount and net price. Round to the nearest cent. Trade Discount List Price Trade…

A: Solution: Trade discount is the discount given on listed price in the normal course of business. The…

Q: 18. The ratio of the prices of two houses was 16 : 23. Two years later when the price of the first…

A: Ratios are used to compare two variables. They are useful to compare values and give a broad picture…

Q: 4 6 If company A has accounts receivable turnover of 3.5 while company B has an accounts receivable…

A: Accounts Receivables turnover ratio is the ratio of net credit sales to the average accounts…

Q: Find the rate of capital gain for the first year.

A: Capital gain or loss refers to a method which shows the relationship between capital gain and…

Q: Yor Inc. most recently sold 200,000 units at P12.00 each; its variable operating costs are P9.00 per…

A: Note: This post contains several questions. The first three have been solved below.