Fundamentals of Corporate Finance

Anonymous
timer Asked: Jan 3rd, 2018
account_balance_wallet $50

Question description

Prepare in Microsoft® Excel® or Word.

Ch. 1: Questions 3 & 11 (Concepts Review and Critical Thinking Questions section)

3. Corporations [LO3] What is the primary disadvantage of the corporate form of organization? Name at least two advantages of corporate organization.

11. Goal of the Firm [LO2] Evaluate the following statement: Managers should not focus on the current stock value because doing so will lead to an overemphasis on short-term profits at the expense of long-term profits.

Ch. 2: Questions 4 & 9 (Questions and Problems section): Microsoft® Excel® template provided for Problem 4.

4. Per-Share Earnings and Dividends [LO1] Suppose the firm in Problem 3 had 90,000 shares of common stock outstanding. What is the earnings per share, or EPS, figure? What is the dividends per share figure?

9. Calculating Additions to NWC [LO4] The 2014 balance sheet of Steelo, Inc., showed current assets of $4,630 and current liabilities of $2,190. The 2015 balance sheet showed current assets of $5,180 and current liabilities of $2,830. What was the company’s 2015 change in net working capital, or NWC?

Ch. 3: Questions 4 & 7 (Question and Problems section)

4. Calculating Inventory Turnover [LO2] The Green Corporation has ending inventory of $417,381, and cost of goods sold for the year just ended was $4,682,715. What is the inventory turnover? The days’ sales in inventory? How long on average did a unit of inventory sit on the shelf before it was sold?

7. DuPont Identity [LO4] If Roten Rooters, Inc., has an equity multiplier of 1.15, total asset turnover of 2.10, and a profit margin of 6.1 percent, what is its ROE?

Ch. 4: Questions 1 & 6 (Questions and Problems section): Microsoft® Excel® template provided for Problem 6.

1. Pro Forma Statements [LO1] Consider the following simplified financial statements for the Yoo Corporation (assuming no income taxes):See attatched word document for the simplified financial statement

The company has predicted a sales increase of 15 percent. It has predicted that every item on the balance sheet will increase by 15 percent as well. Create the pro forma statements and reconcile them. What is the plug variable here?

6. Calculating Internal Growth [LO3] The most recent financial statements for Schenkel Co. are shown here:See attatched word Document for financial statement

Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 30 percent dividend payout ratio. What is the internal growth rate?

Week 1 Finance 370 Prepare in Microsoft® Excel® or Word. Ch. 1: Questions 3 & 11 (Concepts Review and Critical Thinking Questions section) 3. Corporations [LO3] What is the primary disadvantage of the corporate form of organization? Name at least two advantages of corporate organization. 11. Goal of the Firm [LO2] Evaluate the following statement: Managers should not focus on the current stock value because doing so will lead to an overemphasis on short-term profits at the expense of longterm profits. Ch. 2: Questions 4 & 9 (Questions and Problems section): Microsoft® Excel® template provided for Problem 4. 4. Per-Share Earnings and Dividends [LO1] Suppose the firm in Problem 3 had 90,000 shares of common stock outstanding. What is the earnings per share, or EPS, figure? What is the dividends per share figure? 9. Calculating Additions to NWC [LO4] The 2014 balance sheet of Steelo, Inc., showed current assets of $4,630 and current liabilities of $2,190. The 2015 balance sheet showed current assets of $5,180 and current liabilities of $2,830. What was the company’s 2015 change in net working capital, or NWC? Ch. 3: Questions 4 & 7 (Question and Problems section) 4. Calculating Inventory Turnover [LO2] The Green Corporation has ending inventory of $417,381, and cost of goods sold for the year just ended was $4,682,715. What is the inventory turnover? The days’ sales in inventory? How long on average did a unit of inventory sit on the shelf before it was sold? 7. DuPont Identity [LO4] If Roten Rooters, Inc., has an equity multiplier of 1.15, total asset turnover of 2.10, and a profit margin of 6.1 percent, what is its ROE? Ch. 4: Questions 1 & 6 (Questions and Problems section): Microsoft® Excel® template provided for Problem 6. 1. Pro Forma Statements [LO1] Consider the following simplified financial statements for the Yoo Corporation (assuming no income taxes): The company has predicted a sales increase of 15 percent. It has predicted that every item on the balance sheet will increase by 15 percent as well. Create the pro forma statements and reconcile them. What is the plug variable here? 6. Calculating Internal Growth [LO3] The most recent financial statements for Schenkel Co. are shown here: Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 30 percent dividend payout ratio. What is the internal growth rate?
Chapter 2 Problems 2, 3, 4, 6, 7, 14, 15, 19 Input boxes in tan Output boxes in yellow Given data in blue Calculations in red Answers in green NOTE: Some functions used in these spreadsheets may require that the "Analysis ToolPak" or "Solver Add-In" be installed in Excel. To install these, click on the Office button then "Excel Options," "Add-Ins" and select "Go." Check "Analyis ToolPak" and "Solver Add-In," then click "OK." Chapter 2 Question 4 Input area: Sales Costs Depreciation expense Interest expense Tax rate Cash dividends Shares outstanding Output area: Income Statement $ Sales Costs Depreciation expense EBIT Interest expense EBT Taxes (0%) Net income Addition to retained earnings - $ $ - $ - $ - Earnings per share #DIV/0! Dividends per share #DIV/0!
Chapter 4 Problems 5, 6, 20, 22 Input boxes in tan Output boxes in yellow Given data in blue Calculations in red Answers in green NOTE: Some functions used in these spreadsheets may require that the "Analysis ToolPak" or "Solver Add-In" be installed in Excel. To install these, click on the Office button then "Excel Options," "Add-Ins" and select "Go." Check "Analyis ToolPak" and "Solver Add-In," then click "OK." Chapter 4 Question 6 Input area: Sales Costs Taxable income Taxes Net income $ Current assets Fixed assets Total - $ - Payout ratio Tax rate Output area: Return on assets Retention ratio Internal growth rate #DIV/0! 100% #DIV/0! $ Debt Equity - Total $ -

Tutor Answer

anamae12
School: Boston College

Hi :). I have done your assignment with full solutions :). Kindly let me know if you have any future assignment okay :). I am glad to help you out :)

Week 1 Finance 370
Name
Affiliate
Date

Ch. 1: Questions 3 & 11
3. Corporations [LO3]What is the primary disadvantage of the corporate form of
organization? Name at least two advantages of corporate organization.
Answer:
The double taxation of to the shareholders together with the dividends is the
primary disadvantage of the corporate form. The two advantages of this form are as
follows: unlimited life and also limited liability.

11.Goal of the Firm [LO2] Evaluate the following statement: Managers should not
focus on the current stock value because doing so will lead to an overemphasis on shortterm profits at the expense of long-term profits.
Answer:
This statement is in...

flag Report DMCA
Review

Anonymous
Excellent job

Similar Questions
Hot Questions
Related Tags

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors