Last year Dania Corporation's sales were $525 million. If sales grow at 11.3% per year, how large (in millions) will they be 6 years later? Oa. $880.95 million O b. $998.00 million O c. $584.33 million Od. $896.68 million Oe. $1,078.00 million
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- 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?Carter Swimming Pools has $16 million in net operating profit after taxes (NOPAT) in the current year. Carter has $12 million in total net operating assets in the current year and had $10 million in the previous year. What is its free cash flow?The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are expected to be 75% of sales, and depreciation is expected to be 1.5 million. All sales revenues will be collected in cash, and costs other than depreciation must be paid for during the year. Berndts federal-plus-state tax rate is 40%. Berndt has no debt. a. Set up an income statement. What is Berndts expected net income? Its expected net cash flow? b. Suppose Congress changed the tax laws so that Berndts depreciation expenses doubled. No changes in operations occurred. What would happen to reported profit and to net cash flow? c. Now suppose that Congress changed the tax laws such that, instead of doubling Berndts depreciation, it was reduced by 50%. How would profit and net cash flow be affected? d. If this were your company, would you prefer Congress to cause your depreciation expense to be doubled or halved? Why?
- Strickler Technology is considering changes in its working capital policies to improve its cash flow cycle. Stricklers sales last year were 3,250,000 (all on credit), and its net profit margin was 7%. Its inventory turnover was 6.0 times during the year, and its DSO was 41 days. Its annual cost of goods sold was 1,800,000. The firm had fixed assets totaling 535,000. Stricklers payables deferral period is 45 days. a. Calculate Stricklers cash conversion cycle. b. Assuming Strickler holds negligible amounts of cash and marketable securities, calculate its total assets turnover and ROA. c. Suppose Stricklers managers believe the annual inventory turnover can be raised to 9 times without affecting sale or profit margins. What would Stricklers cash conversion cycle, total assets turnover, and ROA have been if the inventory turnover had been 9 for the 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? Select one: a. $181.17 b. $186.21 c. $182.31 d. $185.10Last year Rocco Corporation's sales were $650 million. If sales grow at 6.0% per year, how large (in millions) will they be 8 years later? O a. $977.36 million Ob. $689.00 million O c. $1,066.33 million Od. $962.00 million O e. $1,036.00 million
- Last year Rocco Corporation's sales were $700 million. If sales grow at 6.0% per year, how large (in millions) will they be 8 years later? a. $1,148.35 million b. $1,036.00 million c. $1,115.69 million d. $742.00 million e. $1,052.54 million1.2. What Is the internlal growth ate (IGR)? interpret. 2) The net income is RO 25,000. Last year's sales were RO 180,000. The total assets represent half (50%) of total sales. The accounts payables represent 10% of total assets. The accruals is RO 2,000 and the notes payables is RO 3,000. The assets and costs vary directly with sales. The firm distributes RO 15,000 dividends. The firm operates at full capacity. If the sales growth rate is 15%, how much external financing is needed? Interpret.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?
- Young & Liu Inc.'s free cash flow during the just-ended year (t = o) was $100 million, and FCF is expected to grow at a constant rate of 5% in the future. If the weighted average cost of capital is 15%, what is the firm's value of operations, in millions? a. $998 O b. $1,050 Oc$1,158 Od. $948 Oe. $1,103Cochrane Associate's net sales last year were $525 million. If sales grow at 7.5% per year, how large (in millions) will they be 8 years later? $845.03 $889.51 $936.33 $983.14 $1,032.301. You have the following information on the income statement this year: Unit sales: 1,000 price/unit: 49 VC/unit: 25 FC/year: 10,000 De[/year: 5,000 On the balance sheet last year, total asset is $20,000 and total equity is $5000. The dividend payout ration is 25%, the interest rate is 10% and the tax rate is 35%. How much interest does the firm pay? 2. You have the following information on the income statement this year: Unit sales: 1,000 Price/unit: 49 VC/unit: 25 FC/year: 10,000 Dep/year: 5,000 On the balance sheet last year, total asset is $20, 000 and total equity is $5,000. The dividend payout ratio is 25%, the interest rate is 10%, and the tax rate is 35%. What is the firm's EBIT
