8 Finance problems

Details:

Complete the following problems in chapter 15 and 16 in the textbook: 

1. P15-3

2. P15-9

3. P15-12

4. P15-16

5. P16-6

6. P16-13

7. P16-15

8. P16-20

 Follow these instructions for completing and submitting your assignment:

1. Do all work in Excel. Do not submit Word files or *.pdf files.

2. Submit a single spreadsheet file for this assignment. Do not submit multiple files.

3. Place each problem on a separate spreadsheet tab.

4. Label all inputs and outputs and highlight your final answer.

5. Follow the directions in "Guidelines for Developing Spreadsheets."

 You are not required to submit this assignment to Turnitin.

P 15-3

c. If the firm pays 13% for its resource investment, by how much, if anything,

could it increase its annual profit as a result of the changes in part b?

d. If the annual cost of achieving the profit in part c is $35,000, what action would

you recommend to the firm? Why?

P15-9

P15–12 Shortening the credit period

A firm is contemplating shortening its credit period from 40 to 30 days and believes that, as a result of this change, its average collection period will decline from 45 to 36 days. Bad-debt expenses are expected to decrease from 1.5% to 1% of sales. The firm is currently selling 12,000 units but believes that sales will decline to 10,000 units as a result of the proposed change. The sale price per unit is $56, and the variable cost per unit is $45. The firm has a required return on equal-risk investments of 25%. Evaluate this decision, and make a recommendation to the firm. (Note: Assume a 365-day year.)

P15-16

P16-6

P16-13

P16-15

P16-20