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In 2019, Fragile Express Delivery spent $28.9 million on capital expenditures, experienced a decrease in net working capital (including cash) equal to $72.8 million, and realized $26 million in
Assuming Fragile Express Delivery’s tax rate is 37%, what is Fragile Express Delivery’s unlevered
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- The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are expected to be 75% of sales, and depreciation is expected to be 1.5 million. All sales revenues will be collected in cash, and costs other than depreciation must be paid for during the year. Berndts federal-plus-state tax rate is 40%. Berndt has no debt. a. Set up an income statement. What is Berndts expected net income? Its expected net cash flow? b. Suppose Congress changed the tax laws so that Berndts depreciation expenses doubled. No changes in operations occurred. What would happen to reported profit and to net cash flow? c. Now suppose that Congress changed the tax laws such that, instead of doubling Berndts depreciation, it was reduced by 50%. How would profit and net cash flow be affected? d. If this were your company, would you prefer Congress to cause your depreciation expense to be doubled or halved? Why?During 2019, Rainbow Umbrella Corp. had sales of $630,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $465,000, $85,000, and $135,000, respectively. In addition, the company had an interest expense of $70,000 and a tax rate of 21 percent. (Assume that interest is fully deductible. Ignore any carryforward or carryback.) What is the company's net income for 2019? What is the operating cash flow?During 2021, Raines Umbrella Corporation had sales of $830,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $575,000, $125,000, and $145,000, respectively. In addition, the company had an interest expense of $80,000 and a tax rate of 21 percent. (Ignore any tax loss carryforward provisions and assume interest expense is fully deductible.) Suppose the company paid out $59,000 in cash dividends. If net capital spending and net working capital were both zero, and if no new stock was issued during the year, what is the net new long-term debt?
- During 2023 , Ewha Corp had sales of $650,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $540,000,$85,000, and $135,000, respectively. In addition, the company had an interest expense of $75,000 and a tax rate of 35 percent. (Ignore any tax loss carryback of carry forward provisions.) a. What is Ewha Corp's net income for 2023? b. What is its operating cash flow?For 2019, Nirvana Industries disclosed cash revenue of $11.0 million and cash expenses of $6.0 million, depreciation on plant and equipment of $2.5 million and an effective tax rate of 21%. For 2019, Nirvana Industries had capital expenditures of $1.0 million to purchase manufacturing equipment and invested $850,000 in net working capital. What were the net (total) cash flows for Nirvana Industries in 2019? Round your answer to the nearest hundredth of million $During 2018, Raines Umbrella Corp. had sales of $800,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $580,000, $90,000, and $150,000, respectively. In addition, the company had an interest expense of $89,000 and a tax rate of 21 percent. (Ignore any tax loss carryforward provisions and assume interest expense is fully deductible.) Suppose the company paid out $53,000 in cash dividends. If net capital spending and net working capital was zero, and if no new stock was issued during the year, what is the net new long-term debt? (Do not round intermediate calculations.) Net new long-term debt
- In 2017, Eraser Corp had Revenue of $200 million, Cost of Goods Sold of $100 million (this includes Depreciation of $50 million), Sales General and Admin Expenses of $50 million, and faced a tax rate of 21%. Assume that no money was spent on Capital Expenditures or on additional Net Working Capital. According to our recipe, what should be the after-tax cash flow generated by Eraser Corp in 2017 (in millions)?Ramsay & Bell, Inc. had sales for 2019 of $180,000, and EBITDA was 36% of sales. Furthermore, depreciation was $8,400, interest was $5,760, the corporate tax rate was 21%, and the company pays 10% of its net income as dividends. Given this information and the balance sheets below, calculate the free cash flow for 2019. $24,556 $27,056 $28,556 $30,056 None of the above is within $100 of the correct answer.During 2018, Raines Umbrella Corporation had sales of $749,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $576,000, $101,000, and $131,000, respectively. In addition, the company had an interest expense of $99,000 and a tax rate of 40 percent. (Ignore any tax loss carryback or carryforward provisions.) Assume Raines Umbrella Corporation paid out $16,000 in cash dividends. If spending on net fixed assets and net working capital was zero, and if no new stock was issued during the year, what is the firm's net new long-term debt?
- During 2018, Raines Umbrella Corp. had sales of $742,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $573,000, $104,000, and $132,000, respectively. In addition, the company had an interest expense of $97,000 and a tax rate of 35 percent. (Ignore any tax loss carryback or carryforward provisions.) Assume Raines Umbrella Corp. paid out $19,000 in cash dividends. If spending on net fixed assets and net working capital was zero, and if no new stock was issued during the year, what is the firm's net new long-term debt?During 2021, Raines Umbrella Corporation had sales of $754,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $459,000, $101,500, and $147,000, respectively. In addition, the company had an interest expense of $73,200 and a tax rate of 24 percent. (Ignore any tax loss carryforward provisions and assume interest expense is fully deductible.) a. What is the company’s net income/loss for 2021? (Do not round intermediate calculations and enter your answer as a positive value.) b. What is the company's operating cash flow? (Do not round intermediate calculations.)In 2021, PacMan Inc. had a net operating profit after-taxes of P20,000,000 and an effective tax rate of 20%. Its earnings before interest, taxes, depreciation and amortization was P45,500,000 and net income of P12,200,000. During 2022, PacMan Inc. made P14,500,000 capital expenditures net of depreciation. Determine the total depreciation and amortization expense of Bulldogs Inc.
