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- Towson Industries is considering an investment of $256,950 that is expected to generate returns of $90,000 per year for each of the next four years. What Is the Investments internal rate of return?If an asset declines in value from 5,000 to 3,500 over nine years, what is the mean annual growth rate in the assets value over these nine years?Ogier Incorporated currently has $800 million in sales, which are projected to grow by 10% in Year 1 and by 5% in Year 2. Its operating profitability ratio (OP) is 10%, and its capital requirement ratio (CR) is 80%? What are the projected sales in Years 1 and 2? What are the projected amounts of net operating profit after taxes (NOPAT) for Years 1 and 2? What are the projected amounts of total net operating capital (OpCap) for Years 1 and 2? What is the projected FCF for Year 2?
- Assume that an investment of 100,000 produces a net cash flow of 60,000 per year for two years. The discount factor for year 1 is 0.89 and for year 2 is 0.80. The NPV is a. 0 b. 6,800 c. 1,400 d. (4,000)Smiley Corporations current sales and partial balance sheet are shown here. Sales are expected to grow by 10% next year. Assuming no change in operations from this year to next year, what are the projected spontaneous liabilities?For the year ending December 31, 2017, sales for Company Y were $73.91 billion. Beginning January 1, 2018 Company Y plans to invest 9.5% of their sales amount each year and they expect their sales to increase by 4% each year over the next three years.Company Y invests into an account earning an APR of 2.2% compounded continuously. Assume a continuous income stream.How much money will be in the investment account on December 31, 2020?Round your answer to three decimal places. billion dollarsHow much money did Company Y invest in the account between January 1, 2018 and December 31, 2020?Round your answer to three decimal places. billion dollarsHow much interest did Company Y earn on this investment between January 1, 2018 and December 31, 2020?Round your answer to three decimal places. If intermediate values are used, be sure to use the unrounded values to determine the answer. billion dollars
- Consider a company that is projected to generate revenues of $104 million next year. Analysts expect revenues to grow at a 4.6% annual rate for the following two years (until the end of year 3) and then at a stable rate of 2.5% in perpetuity. If the company is expected to have a gross margin of 75%, operating margin of 35%, net margin of 25%, tax rate of 16.4%, and reinvestment rate of 34%, what is its expected free cash in four years from today? Answer in millions, rounded to one decimal placeFor the year ending December 31, 2017, sales for Corporation Y were $67.81 billion. Beginning January 1, 2018 Corporation Y plans to invest 9.5% of their sales amount each year and they expect their sales to increase by 7% each year over the next three years.Corporation Y invests into an account earning an APR of 2.0% compounded continuously. Assume a continuous income stream.How much money will be in the investment account on December 31, 2020?Round your answer to three decimal places.billion dollarsHow much money did Company Y invest in the account between January 1, 2018 and December 31, 2020?Round your answer to three decimal places.billion dollarsFor the year ending December 31, 2017, sales for Corporation Y were $67.81 billion. Beginning January 1, 2018 Corporation Y plans to invest 9.5% of their sales amount each year and they expect their sales to increase by 7% each year over the next three years. Corporation Y invests into an account earning an APR of 2.0% compounded continuously. Assume a continuous income stream. How much money will be in the investment account on December 31, 2020?Round your answer to three decimal places.billion dollarsHow much money did Company Y invest in the account between January 1, 2018 and December 31, 2020? Round your answer to three decimal places.billion dollarsHow much interest did Company Y earn between January 1, 2018 and December 31, 2020? Round your answer to three decimal places. If intermediate values are used, be sure to use the unrounded values to determine the answer.billion dollars
- HS Shipping wants to expand as soon as it can save $112 million. Towards that goal, the firm started saving three years ago and currently has $38.2 million saved. Starting today, the firm will add $15,000 a month to this savings account. The rate of return is 7.1 percent, compounded monthly. How long will it be from now before the company can expand?Last year Dania Corporation's sales were $525 million. If sales grow at 10.5% per year, how large (in millions) will they be 8 years later?A company has profits of $38,982 this year and expects profits to decrease by $1,728 dollars per year over the next 12 years. If the profits will be continuously invested in an account bearing 6.2% APR compounded continuously, what is the 12-year present value of this income stream?
