round 16

Round 11

#1 Homework #1A

Moby Dick Corporation has sales of 4,179,730; income tax of 331,371; the selling, general and administrative expenses of 210,178; depreciation of 357,383; cost of goods sold of 2,916,220; and interest expense of 123,975. Calculate the amount of the firms after-tax cash flow from operations?

Your Answer

#2 Homework #1C (Operating Cycle and Cash Conversion Cycle ratios)

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, and using a 365-day year, calculate cash conversion cycle.

Round the answers to two decimal places

 

Balance Sheet December 31, 2014

 

Cash and marketable securities	$132,000	Accounts payable	$399,000
Accounts receivable	$311,000	Notes payable	$98,500
Inventories	$512,000	Accrued expenses	$89,300
Prepaid expenses	$11,300	Total current liabilities	$586,800
Total current assets	$966,300	Long-term debt	$799,400
Gross fixed assets	$2,104,000	Par value and paid-in-capital	$298,000
Less: accumulated depreciation	$398,000	Retained Earnings	$988,100
Net fixed assets	$1,706,000	Common Equity	1,286,100
Total assets	$2,672,300	Total liabilities and owner’s equity	$2,672,300

 

Income Statement, Year of 2014

Net sales (all credit)	$4,276,600.00
Less: Cost of goods sold	$3,292,982.00
Selling and administrative expenses	$349,000.00
Depreciation expense	$148,000.00
EBIT	$486,618.00
Interest expense	$49,600.00
Earnings before taxes	$437,018.00
Income taxes	$174,807.20
Net income	$262,210.80

Your Answer

#6Homework #3B (FV and PV of annuity non-annually)

What is the present value of the following annuity? $241 every quarter year at the end of the quarter for the next 3 years, discounted back to the present at 12.16 percent per year, compounded quarterly?

Round the answer to two decimal places.

Your Answer:

#7Homework #3C (How much will each annual payment be (Using FV or PV))

You plan to buy the house of your dreams in 5 years. You have estimated that the price of the house will be $82,159 at that time. You are able to make equal deposits every month at the end of the month into a savings account at an annual rate of 7.77 percent, compounded monthly. How much money should you place in this savings account every month in order to accumulate the required amount to buy the house of your dreams? 

Round the answer to two decimal places.

Your Answer:

#8Homework #4D (YTM annually, semi-annually)

Fresh Fruit, Inc. has a $1,000 par value bond that is currently selling for $1,404. It has an annual coupon rate of 13.70 percent, paid semiannually, and has 22-years remaining until maturity. What would the annual yield to maturity be on the bond if you purchased the bond today and held it until maturity?

Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box)

You should use Excel or financial calculator.

 

Your Answer: