The table below contains data on Fincorp Incorporated. The balance sheet items correspond to values at year-end 2021 and 2022, while the income statement items correspond to revenues or expenses during the year ended 2021 and 2022. All values are in thousands of dollars. Revenue Cost of goods sold Depreciation Inventories Administrative expenses Interest expense Federal and state taxes* Accounts payable Accounts receivable Net fixed assets t Long-term debt Net working capital 2021 $ 4,200 1,800 decreased 490 350 580 240 340 310 430 6,000 1,900 990 400 880 2022 $ 4,300 1,900 510 380 630 Notes payable Dividends paid Cash and marketable securities * Taxes are paid in their entirety in the year that the tax obligation is incurred. t Net fixed assets are fixed assets net of accumulated depreciation since the asset was installed. What was the change in net working capital during the year? (Enter your answer in thousands of dollars.) by 240 360 345 460 6,740 2,340 510 400 330
Q: an investment of $10.1010.10 million today and $5.105.10 million in one year. The government will…
A: Net present value(NPV) is the difference between present value of all cash inflows and PV of cash…
Q: A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a…
A: Stock fund expected returns: 17%Standard deviation of stock: 34%Bond fund expected returns:…
Q: A company reported net income of S202,500 during 2019. The company reported depreciation expense of…
A: Net income = $202,500Depreciation expense = $47,500Patent amortization = $16,250Loss on sale of…
Q: Taggart Inc. is considering a project that has the following cash flow data. What is the project's…
A: Therefore, the project's payback period is 1.30 years.Explanation:The project's payback period is…
Q: Problem 5-26 Calculating IRR The Utah Mining Corporation is set to open a gold mine near Provo,…
A: The IRR of a project refers to the measure of the project's profitability calculated by finding the…
Q: Ms. Gold is in the widget business. She currently sells 1.7 million widgets a year at $7 each. Her…
A: Earnings per share (EPS) is a financial measure that represents the portion of a company's profit…
Q: Based on economists' forecasts and analysis, 1-year Treasury bill rates and liquidity premiums for…
A: The market's anticipation of future short-term interest rates plus a liquidity premium is what…
Q: A company wishes to improve efficiency and have 28 days in inventory. If COGS is forecasted as…
A: The average inventory amount can be found by using the inventory turnover ratio where the cost of…
Q: The current price of a non-dividend-paying stock is $56. Over the next six months it is expected to…
A: A call option is a derivative instrument that allows the investor to acquire the respected asset at…
Q: Future Annual Investment Amount Compounding Interest Rate Period (Years) Investment A $50,000…
A: The present value (PV) of an investment represents the current worth of a future sum of money,…
Q: You have a potential project for which you want to establish the value of any possible real options.…
A: The concept of real options, derived from financial option theory, extends beyond traditional…
Q: You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner…
A: Scanner cost = $5,900,000Number of years = 5Lease payments = $1,450,000Borrowing costs = 8%To find:…
Q: Based on economists' forecasts and analysis, 1-year Treasury bill rates and liquidity premiums for…
A: R10.85%E(2r1)2.00%L20.08%E(3r1)2.10%L30.10%E(4r1)2.40%L40.12%
Q: Suppose a ten-year, $1,000 bond with an 8.1% coupon rate an a. What is the bond's yield to maturity…
A: Here,FaceValue of Bond is $1,000Current Value of Bond is 41,034.08Coupon Rate is 8.10%Frequency of…
Q: A 5-year bond has a face value of £100. The bond pays coupons semi-annually at a rate of 2%. The…
A: Time to maturity = 5 yearsFace value = £100Coupon rate = 2%Yield = 5%To find: The price of the bond.
Q: In 2023 Tesla generated $15 billion in net income. It spent $15.58 billion on property, plants, and…
A:
Q: What is the payback period for the following set of cash flows? Year Cash Flow 0 -$ 3,000 1 2,400 2…
A: Here, YearCash Flows0 $ (3,000.00)1 $ 2,400.002 $ 1,600.003 $ 2,200.004 $ 2,200.00
Q: A 9-year-maturity zero-coupon bond selling at a yield to maturity of 7.75% (effective annual yield)…
A: Here, Zero Coupon BondCoupon BondTime to Maturity9Time to Maturity30Yield to Maturity7.75%Yield…
Q: Year Beginning Amount 1 2 3 4 5 $100,000.00 82,260.36 63,456.34 43,524.08 22,395.89 Step 2: Learn:…
A: Laon amortization schedule means where repayment during the life of loan is written with interest.…
Q: Question 3. Analysis Analyze whether Nike should go ahead with this project. You must provide an…
A: The objective of the question is to analyze whether Nike should proceed with a project based on the…
Q: Calculate the present value of a perpetuity of $5,000 per year with the first payment 3 years from…
A: The following formula can be used to determine a perpetuity's present value: Present value of…
Q: Consider historical data showing that the average annual rate of return on the S&P 500 portfolio…
A: T bill rate: 5%Standard deviation of market index: 26%Return of market index: 8%+T bill rate
Q: Kate's Candy Corporation makes chewy chocolate candles at a plant in Winston-Salem, North Carolina.…
A: Capital budgeting is a crucial financial decision-making process undertaken by businesses to…
Q: The Walters accumulated $285,000 during more than 40 years of work. They originally deposited…
A: Annual income refers to an amount that is earned as a return over an investment amount by the…
Q: You are meeting with a financial planner to begin saving for retirement. Your starting salary is…
A: The objective of this question is to calculate the total amount in the retirement account at the end…
Q: Problem 06.027 AW of a Permanent Investment How much must you deposit each year into your retirement…
A: Amount withdrawn per year forever = $85,000Number of years = 30 yearsInterest rate = 10%Number of…
Q: Suppose Tefco Corp. has a value of $131 million if it continues to operate, but has outstanding debt…
A: Bankruptcy is a legal status that individuals or businesses enter when they cannot repay their…
Q: pension fund manager is considering three mutual funds. The first is a stock fund, the second is a…
A: Expected return of stock fund (S)24%Expected return of bond funds (B)12%Money market fund…
Q: Midland Petroleum is holding a stockholders' meeting next month. Ms. Ramsey is the president of the…
A: Corporate Finance, encompasses the structures and processes by which companies are directed,…
Q: A owner would be able to increase his firm's yearly profits if it purchases a new machine. If the…
A: Yearly profits = $25,000Year of starting = 3Salvage value = $80,000Interest rate = 8.5%To find: The…
Q: 1. A machine costs $250,000 to purchase and will provide $60,000 a year in benefits. The company…
A: Net present worth is the difference between the present value of the cash inflows and cash outflows.…
Q: Rare Agri-Products Ltd. is considering a new project with a projected life of seven (7) years. The…
A: Initial Investment RequiredThe initial investment required is $32,100,000.OCF for Years 1 Through…
Q: 4 5 6 7 8 a 9 Purpose of the homework: 1. Students will learn the composition of Dow Jones…
A: The objective of this question is to understand how the Dow Jones Industrial Average (DJIA) is…
Q: . what is the expected rate of return on HP's stock?
A: The capital asset pricing model is used to determine the predicted return. It creates a connection…
Q: After successfully completing your corporate finance class, you feel the next challenge ahead is to…
A: In straight voting, each shareholder gets one vote per share for each seat on the board. The cost to…
Q: You are managing a pension fund with a value of $360 million and a beta of 1.30. You are concerned…
A: Portfolio value = $360,000,000Portfolio beta = 1.30Delta of the call option = 0.64S&P Index =…
Q: a company is investing in a giant crane. It is expected to cost $6 million in initial investment,…
A: As per discounted approach, MIRR can be found by using the IRR function after making adjustments to…
Q: A company engaging in selling of laboratory equipment estimates that profit from sales should…
A: The objective of the question is to determine whether a mobile demonstration unit should be built…
Q: Apple would like to issue a 10 year bond with $1,000 face value. The coupon rate is 5.5%, and is…
A: Yield to maturity (YTM) is a financial term used in the context of bonds and other fixed-income…
Q: What is the annual equivalent worth of a project where (a) the initial investmen $50,000; (b) will…
A: Annual equivalent is one method of capital budgeting based on time value of money and is used for…
Q: You are 22 and inherit 60000 from your grandmother If you wish to purchase a 120000 camper to…
A: TVM is the concept that considers money's interest-earning capacity, which makes money earned…
Q: Twelve years ago, Mr. Lawton rolled a $29,000 retiring allowance into an RRSP that subsequently…
A: RRSP stands for retirement savings plan in which an amount is contributed by the spouse, employer…
Q: Laura wants to buy a delivery truck. The truck costs $53,000, and will allow her to increase her…
A: Cost of truck= $53,000Annual after tax profits = $39,000Number of years = 10 YearsDown Payment = 72%…
Q: A Construction company may buy a new truck with a 10-year life. Interest is 5%. The cash flows for…
A: NPW is the abbreviation used for Net present worth or net benefits after discounting the cash flows…
Q: Revenues generated by a new fad product are forecast as follows: Year Revenues 1$ 45,000 2 40,000 3…
A: Capital budgeting can be defined as the procedure for allocating company resources to profitable…
Q: Kelly is a diligent mother who has just finished supporting her two children, Susan, aged 23, and…
A: The objective of the question is to calculate the annual savings Kelly needs to make to accumulate a…
Q: Blooper Industries must replace its magnoosium purification system. Quick & Dirty Systems sells a…
A: Equivalent annual cost refers to the cost on an annual basis for asset at the time it is owned,…
Q: Bill Clinton reportedly was paid an advance of $ 10.0 million to write his book My Life. Suppose the…
A: The Time Value of Money: Imagine you have the option of receiving $100 today or $100 in a year. Most…
Q: Shane is about to have his twenty-fifth birthday. He has set a goal of retiring at age 55 with…
A: Target amount = $700,000Interest rate = 8%Current age = 25 yearsRetirement age = 55 years
Q: Renee has two options:(1) She is 25 and her marginal tax rate is 32%. She is planning to invest…
A: Scenario 1:(a) Total value of RRSP at 65:FV≈$2,212,950(b) Tax on RRSP withdrawal at…
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 2 images
- You have been provided with Leonard Corporation's partial Statement of Financial Position and the Statement of Comprehensive Income for the year ended December 31, 2021. Leonard Corporation Partial Statement of Financial Position For the Year Ended December 31, 2021 Accounts receivable -net Prepaid expenses Inventory Property, Plant & Equipment Accumulated Depreciation Accounts payable Income taxes payable Deferred revenue 2021 Sales....... Cost of goods sold.. Gross Margin. Selling, general and admin Depreciation expense $440,000 482,000 45,000 31,000 825,000 810,000 2,475,000 2,105,000 2020 (866,000) (823,000) 184,000 197,000 38,000 35,000 47,000 42,000 Leonard Corporation Statement of Comprehensive Income For the Year Ended December 31, 2021 Interest expense..... Gain on sale of PPE Net income before taxes Income Tax Expense Net income and comprehensive income... $3,560,000 1,950,000 1,610,000 (595,000) (320,000) (115,300) 55,400 635,100 95,300 .$539,800 Additional information:…Mirabel Corporation's financial statements for 2020 follow: Sales...... Cost of goods sold. Gross profit.... Operating expenses. Income before taxes. Income taxes.. Net income.. MIRABELCORPORATION Statement of Income For the Year Ended July 31, 2020 Cash. Receivables. Inventory...... MIRABEL CORPORATION Statement of Financial Position July 31, 2020 Property, plant and equipment (net). Total assets. Current liabilities. Non-current liabilities. Common shares. Retained earnings.. Total liabilities and shareholders' equity. Calculate the current ratio (use up to two decimal places) $1,575,000 (976,500) 598,500 (236,250) 362,250 (144,900) $217,350 49,000 143,900 167,800 682,800 $1,043,500 $ 131,000 450,000 250,000 212,500 $1,043,500Can you do 2022 income statement of this table? Statement of Profit or Loss and Other Comprehensive Income Presentation Currency Nature of Financial Statements Revenue Revenue from Finance Sector Operations Total Revenue Cost of Sales Cost of Finance Sector Operations Total Costs Gross Profit (Loss) from Commercial Operations Gross Profit (Loss) from Finance Sector Operations Gross Profit (Loss) Profit (Loss) From Operating Activities Profit (Loss) Before Financing Income (Expense) Profit (Loss) from Continuing Operations, Before Tax Profit (Loss) from Continuing Operations Profit (Loss) from Discontinued Operations Net Profit (Loss) Profit (Loss) Attributable To, Non- controlling Interests Profit (Loss) Attributable To, Owners of Parent Other Comprehensive Income (Loss) Total Comprehensive Income (Loss) Total Comprehensive Income Attributable To, Non-controlling Interests Total Comprehensive Income Attributable To, Owners of Parent 2020/12 1000TL Consolidated 21.529.210 37.824.578…
- Comparitive balance sheet of Hillard Co. as of Dec 31, 2020 and 2021 is as under: Assets 2020 2021 Liabilities Cash Accounts Receivable Inventory Fixed Assets Investments Sales Cost of Goods Sold Gross profit 16,425 12,300 Salaries expenses Depreciation expense Income tax expense Admin. Expenses Net profit 16,100 163,000 13,500 221,325 28,025 10,600 Income statement for the year 2021 is as under: 18,400 206,300 9,200 272,525 829,400 614,450 214,950 12,900 11,600 1,150 164,400 24,900 Accounts Payable Salaries Payable Income tax payable Loans Payable Retained earnings Please prepare the cash flow statement using the indirect method. 2020 26,900 2,400 1,600 106,250 84,175 221,325 2021 33,450 3,100 2,050 113,250 120,675 272,525Some recent financial statements for Smolira Golf, Incorporated, follow. Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Sales Cost of goods sold Depreciation EBIT Interest paid Taxable income Taxes SMOLIRA GOLF, INCORPORATED 2022 Income Statement Net income Dividends Retained earnings 2021 Short-term solvency ratios a. Current ratio b. Quick ratio c. Cash ratio Asset utilization ratios d. Total asset turnover e. Inventory turnover f. Receivables turnover Long-term solvency ratios g. Total debt ratio h. Debt-equity ratio i. Equity multiplier j. Times interest earned ratio k. Cash coverage ratio Profitability ratios I. Profit margin m. Return on assets n. Return on equity $3,061 4,742 12,578 $ 20,381 SMOLIRA GOLF, INCORPORATED Balance Sheets as of December 31, 2021 and 2022 2022 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Other $ 52,746 $ 73,127 2021 $ 188,370 126, 703 5,283 $ 56,384…Some recent financial statements for Smolira Golf, Incorporated, follow. Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Sales Cost of goods sold Depreciation EBIT Interest paid Taxable income Taxes SMOLIRA GOLF, INCORPORATED 2022 Income Statement Net income Dividends Retained earnings 2021 Short-term solvency ratios a. Current ratio b. Quick ratio c. Cash ratio Asset utilization ratios d. Total asset turnover e. Inventory turnover f. Receivables turnover Long-term solvency ratios g. Total debt ratio h. Debl-equity ratio. 1. Equity multiplier j. Times interest earned ratio $ 3,031 4,737 12,598 $20,366 $ 54,277 $ 74,643 SMOLIRA GOLF, INCORPORATED Balance Sheets as of December 31, 2021 and 2022 2022 Liabilities and Owners' Equity Current liabilities Accounts payable 2021 $ 188,570 126,803 5,273 $ 56,494 1,370 $ 55,124 19,293 $ 35,831 $ 11,965 23,866 times times times $ 3,007 5,721 13,722 $ 22,450 times times times $ 79,709…
- Use the following information to answer this question. Windswept, Incorporated 2022 Income Statement (in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income Cash Accounts receivable Inventory Total Net fixed assets Total assets Multiple Choice O O O $28.84 O $43.50 O $66.00 $27.00 2021 $43.26 Windswept, Incorporated 2021 and 2022 Balance Sheets (in millions) $ 140 900 $ 8,650 7,250 300 $ 1,100 70 $ 1,030 309 $ 721 2022 Windswept, Incorporated, has 250 million shares of stock outstanding. Its price-earnings ratio for 2022 is 15. What is the market price per share of stock? $ 155 710 1,520 1,500 $ 2,540 $2,385 3,200 3,650 $ 5,740 $ 6,035 Accounts payable Long-term debt Common stock Retained earnings Total liabilities & equity 2021 $1,160 940 3,190 450 2022 $ 1,302 1,118 2,890 725 $5,740 $ 6,035Use the following information for Ingersoll, Inc. Assume the tax rate is 21 percent. 2019 $18,798 2,494 6,741 1,183 Sales Depreciation Cost of goods sold Other expenses Interest Cash Accounts receivable Short-term notes payable Long-term debt Net fixed assets Accounts payable Inventory Dividends 2018 $17,049 2,386 5,740 1,350 Cash flow from assets Cash flow to creditors Cash flow to stockholders 1,115 1,330 8,681 9,277 11,498 13,512 1,684 1,651 29,090 35,254 72,792 77,640 6,275 6,670 20,441 21,872 2,029 2,324 For 2019, calculate the cash flow from assets, cash flow to creditors, and cash flow to stockholders. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)Use the following information to answer this question. Windswept, Incorporated 2022 Income Statement (in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income Cash Accounts receivable Inventory Total Net fixed assets Total assets Windswept, Incorporated 2021 and 2022 Balance Sheets (in millions) 2021 2022 $ 310 $ 340 1,160 1,060 2,060 1,805 $ 3,530 $3,205 3,610 4,170 $ 7,140 $ 7,375 $ 9,990 8,190 495 $ 1,305 122 $ 1,183 414 $ 769 What is the days' sales in receivables for 2022? Accounts payable Long-term debt Common stock Retained earnings Total liabilities & equity 2021 $ 1,710 1,200 3,540 690 2022 $ 1,985. 1,350 3,100 940 $ 7,140 $ 7,375
- Use the following information to answer this question. Windswept, Incorporated 2022 Income Statement (in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income $ 9,710 7,990 475 $ 1,245 114 $ 1,131 396 $ 735 Windswept, Incorporated 2021 and 2022 Balance Sheets (in millions) 2021 2022 2021 Total assets What is the days' sales in receivables for 2022? Cash Accounts receivable Inventory Total $ 3,290 $ 3,025 3,530 4,050 Net fixed assets $ 6,820 $ 7,075 $ 270 $ 300 Accounts payable $ 1,550 1,080 1,940 1,745 980 Long-term debt Common stock Retained earnings Total liabilities & equity $ 6,820 $ 7,075 1,160 3,460 650 2022 $ 1,785 1,330 3,060 900[The following information applies to the questions displayed below.] Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended December 31, 2020, 2019, and 2018 2928 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total expenses Income before taxes Income tax expense Net income Assets Current assets Long-term investments Plant assets, net Total assets Liabilities and Equity Current liabilities Common stock Other paid-in capital Retained earnings Total liabilities and equity KORBIN COMPANY Comparative Balance Sheets December 31, 2020, 2019, and 2018 2020 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total expenses Income before taxes Income tax expense Net income Assets Current assets Long-term investments Plant assets, net Total assets $ 481,536 289,885 191,651 68,378 43.338 111,716 79,935 14,868 $ 65,067 Liabilities and Equity Current liabilities…[The following information applies to the questions displayed below.] 2021 2020 2019 Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended December 31 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total expenses Income before taxes Income tax expense Net income Assets Current assets Long-term investments Plant assets, net Total assets KORBIN COMPANY Comparative Balance Sheets Liabilities and Equity Current liabilities Common stock Other paid-in capital Retained earnings 2021 2020 2019 $ 483,981 $ 370,769 $ 257,300 291,357 234,326 164,672 136,443 51,166 32,628 83,794 52,649 10,793 $ 41,856 192,624 68,725 43,558 Numerator: 112,283 80,341 14,943 $ 65,398 1 1 1 1 1 December 31 2021 $ 57,843 0 Current Ratio $ 23,890 $ 20,253 $ 19,708 66,000 66,000 48,000 8,250 8,250 5,333 65,490 41,423 39,574 Total liabilities and equity $ 163,630 $ 135,926 $ 112,615 Required: 1. Complete the below…