Your company's sales are forecasted to increase by 13.00% next year. Accrued wages were $16.20 million. Assuming that the fluctuation in accrued wages is pegged to fluctuation in sales, how much accrued wages will be next year? Note: your answer should be in millions of dollars.

Your company's sales are forecasted to increase by 13.00% next year. Accrued wages were $16.20 million. Assuming that the fluctuation in accrued wages is pegged to fluctuation in sales, how much accrued wages will be next year? Note: your answer should be in millions of dollars.

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section4.2: Future Values

Problem 4ST

See similar textbooks

Related questions

Q: A company's annual profits have a trend line given by Y = 20,000t – 10,000, where Y is the trend and…

A: In this question future value or expected profit is to be find out given the equation.

Q: An A firm has sales of $10 million, variable costs of $4 million, fixed expenses of $1.5 million,…

A: 1) Computation of DOL, DFL, DCL is as follows:DOL=Sales -Variable costSales -variable cost-fixed…

Q: If a company's sales are growing at a rate of 20% annually, how long will it takes sales to double?

A: Future Value = Present Value * (1+r)^n let PV =1, than FV be 2

Q: CelebNav, Inc. had sales last year of $750,000 and the analysts are predicting a good year for the…

A: Given, sales last year = $750,000

Q: A firm has total interest charges of $10,000 per year, sates of $1 million, a tax rate of 40…

A: Times interest earned ratio or interest coverage ratio shows ability of the company in paying it's…

Q: Future value: CelebNav, Inc., had sales last year of $700,000, and the analysts are predicting…

A: The future value of an investment refers to the amount of money that we will have in the future if…

Q: What is the formula for forecast of sales revenue for 20 years at an increase of revenue of 20% each…

A: Sales forecasting refers to estimating the future sales of the company based on the past trends.…

Q: Your company forecasts that next year's sales will be $67.00 million and the Days Sales Outstanding…

A: Days Sales Outstanding (DSO): It refers to the time taken by the company in receiving money or…

Q: Companies such as GE that have huge amounts of cash flow every day base their financial calculations…

A: Effective annual rate = ert - 1 Where, Effective annual rate = 25% e = exponential function r =…

Q: Annual revenues in our company are $1.5 million this year. If they are expected to grow at a…

A: Future Value = Present Value * (1+rate)^years

Q: If sales increase from P80.000 per year to P140,000 per year, and if the operating leverage factor…

A: Calculation of Expected Percentage increase in Net Operating Income if sales increase by 75%…

Q: A company is expected to result 2900$ savings first year then increase by 200$ annually, if the rate…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: If the annual cost of goods sold is $30,000,000 and the average inventory is$5,000,000,a. What is…

A: Inventory turnover ratio is the ratio which measures the number of times inventory is consumed or…

Q: if a company's sales are growing at a rate of 10% annually, how long will i take sales to double

A: The above information indicates that sales of the company are growing and the approximate year it…

Q: TEME is a manufacturer of toy construction equipment. If it pays out all of its earnings as…

A: Value of firm = Dividend / Nominal rate per qtr

Q: Consider a firm that expects to generate the following earnings stream over the next five years. The…

A: The question is based on the concept of Financial Management.

Q: Hurkin Manufacturing Company pays accounts payable on the tenth day after purchase. The average…

A: Working capital is the cash needed to run a firm on a day-to-day basis, such as purchasing raw…

Q: With a margin of 120 million of a base year that grows at 10%, some commissions collected of 205…

A: Calculate the margin in the following year (Margin T+1) by multiplying the margin in the base year…

Q: Sohar Video Products’ sales are expected to increase from OMR (10) million in 2020 to OMR (12)…

A: Financial planning is the roadmap of the company for the future financial results of the firm. It…

Q: Equipment that costs $15,000 and generates a $5,000 annual return would appear to "pay back" on the…

A: Given: Investment =$15000Annual return =$5000Inflation rate =30%

Q: Last year sales were $300,000, net operating income was $75,000, and averageoperating assets were…

A: Last year expenses = Sales - Net operating income = $300,000 - $75,000 = $225,000

Q: The current value of a company is $25 million. if the value of the company six years ago was $10…

A: The average annual rate of return is the estimated return earned on the investment over the period…

Q: Suppose that you expect a ceteris paribus decrease in average incomes of 10% this year compared to…

A: Ceteris paribus, which literally means "keeping other things constant," seems to be a Latin…

Q: Sohar Video Products' sales are expected to increase from OMR (10) million in 2020 to OMR (12)…

A: The main activity of the business is to produce and distribute both goods and services to the…

Q: The president expects sales to increase by 20% next year. By wha peso amount should net operating…

A: As per the guidelines, only one question is allowed to be solved. Please resubmit the questions…

Q: Company B is expecting a total sale to be 5 million in the first year and will increase by 10% each…

A: Total sale = 5 million Increase in sale = 10% Employees bonus = 2% of sales Interest rate = 8%…

Q: Your company forecasts that next year's sales will be $59.00 million, Cost of Goods Sold (COGS) will…

A: Accounts payables are calculated by multiplying days payables outstanding with the cost of goods…

Q: A corporation has $344 million in sales,$232 million in COGS, $53 million in inventory, $128 million…

A: Cash conversion cycle = [Average inventoryCost of goods sold + Average receivablesNet sales-Average…

Q: The market for widgets is increasing by 15% per year from current profits of $2,000,000. Investing…

A: Given information : Incremental rate = 15% Current profits = $2,000,000 Expected decline in price =…

Q: make in excel and take screenshots. A Pumpkin Pie Manufacturing Company pays on the tenth day after…

A: Company can decrease the cost if working capital has been reduced and that is possible by decrease…

Q: A company expects their revenues to decrease by $14,587 over the next 8 years, starting from year 2.…

A: Discounting is a technique to compute the present value (PV) of future cashflows by using an…

Q: A company produces annual profits of ₡ 9,600,000.00 indefinitely, which is the value of the company…

A: Annual profit = ₡ 9,600,000.00 Monthly profit = ₡ 9,600,000.00 /12 = ₡ 800,000 Monthly interest…

Q: Consider the case of Flying Cow Aviation Inc.: Flying Cow Aviation Inc. is expected to generate a…

A: To compute the intrinsic value per share, total value of firm is determined by determining the total…

Q: What is the rate of return on an investment of $150,000 if the company expects to earn $12,000…

A: The rate of return earned on the investment can be calculated with the help of RATE function of…

Q: If a company's sales are growing at a rate of 20% annually, how long will it take sales to double?

A: Present Value refers to the value of cash flows today which is to be received at some future time…

Q: Last year, the company's sales were $2,250,000. If sales grow at 6% per year, how large will it be 5…

A: Formula: Sales value after 5 years = Current Year sales x ( 1 + Growth rate )Number of years

Q: Net Income for Company A is $200,000 in 2014, $300,000 in 2015, $400,000 in 2016, $500,000 in 2017,…

A: The dividend discount model (DDM) is a quantitative method used for predicting the worth} of a…

Q: a firm has constant profits of $100,000 per year for the next four years and the interest rate is 6…

A: Present Value :- Present value means the value of future cash flow as of today. It is calculated as…

Q: The demand for a product during the next ten years will be such that revenues will be $100,000 the…

Q: Hernandez Corporation expects to have the following data during the coming year. What is Hernandez's…

A: ROE refers to return on equity. It is a measure of profitability of a firm with respect to the…

Q: A product has sales of $7M this year, but sales are expected to decline at 10% per year until it is…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: year Dania Corporation's sales were $525 million. If sales grow at 10.5% per year, how large (in…

A: The ability of your sales staff to increase revenue over a set period is measured by sales growth,…

Q: Net Income for Company A is $200,000 in 2014, $300,000 in 2015, $400,000 in 2016, $500,000 in 2017,…

A: In this we have to calculate present value of future value of cash flow.

Q: Leyton Lumber Company has sales of $12 million per year, all oncredit terms calling for payment…

A: Capital refers to the desired amount of cash and other financial assets such as stocks, bonds,…

Question

Note: your answer should be in millions of dollars.

Leveraging special tenchniques in analyzing historical data to predict future trends. Forecasting covers the methods and types of forecasting and their application to case studies.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

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?
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?
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?
Finlay Corporation had sales this year of $3,270 million, and sales are expected to grow by 20 percent next year. Next year the company expects cost of goods sold to be 60 percent of sales, selling expenses to be $40 million per month, depreciation to be $10 million per month, and interest expense to be $24 million per month. Taxes are computed at 21 percent. What is Finlay's expected net income next year?
The demand for a product during the next ten years will be such that revenues will be $100,000 the first year and will increase by $10,000 each year thereafter. If inflation is assumed to be 6% per yuear and the company uses 10% in its economic studies, what is the present worth of the revenues expressed in present 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 place
Your company forecasts that next year's sales will be $59.00 million, Cost of Goods Sold (COGS) will be 85% of sales, and the Days Payables Outstanding (DPO) ratio will be 22.19. What is the forecasted accounts payable for next year?
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?
Your company forecasts that next year's sales will be $67.00 million and the Days Sales Outstanding (DSO) ratio will be 24.71. What is the forecasted accounts receivable for next year? Note: your answer should in millions of dollars.
If a company's sales are growing at a rate of 20% annually, how long will it takes sales to double?
With a margin of 120 million of a base year that grows at 10%, some commissions collected of 205 million that grow at 20% and an expense made of 300 million that grows at 30% How is the Attributable Income modified for the following year? From how much the TAM of the expense would have to be for the Result to be the same as last year?
Last year Mike Corporation's sales were $134 million. If sales grow at 8% per year, how large (in millions) will they be 4 years later?