Q & A - Finance

Q & A

• Question Super Sales Company is the exclusive distributor for a revolutionary bookbag. The product s QuestionSuper Sales Company is the exclusive distributor for a revolutionary bookbag. The product sells for $43 per unit and has a CM ratio of 40%. The company's fixe...
• Question On January 1, 2010, Beyer Co. leased a building to Heins Corp.for a 10-year term at an annu QuestionSoar Incorporated is considering eliminating its mountain bike division, which reported an operating loss for the recent year of $1,000. The division sales for th...
• Question Sibble Corporation is considering the purchase of a machine that would cost $300,000 and wo Question Sibble Corporation is considering the purchase of a machine that would cost $300,000 and w QuestionSibble Corporation is considering the purchase of a machine that would cost $300,000 and would last for 5 years. At the end of 5 years, the machine would have a s...
• Question Shaw supply company sells a single product and has the following average costs at a sales l QuestionShaw supply company sells a single product and has the following average costs at a sales level of 15,000 units:Variable cost per unit....................... $2.4...
• Question Scenario 29-1. The monetary policy of Namdian is determined by the Namdian Central Bank. Th QuestionScenario 29-1.The monetary policy of Namdian is determined by the Namdian Central Bank. The local currency is the dia. Namdian banks collectively hold 100 million...
• Question Sandblasting equipment acquired at a cost of $95,000 has an estimated residual value of $6, QuestionSandblasting equipment acquired at a cost of $95,000 has an estimated residual value of $6,000 and an estimated useful life of 10 years. It was placed in service ...
• Question Roberts Company is considering an investment in equipment thatis capable of producing more QuestionRoberts Company is considering an investment in equipment thatis capable of producing more efficiently than the currenttechnology. The outlay required is $1,638,0...
• Question Riverside Florists uses an activity-based costing system to compute the cost of making flor QuestionRiverside Florists uses an activity-based costing system to compute the cost of making floral bouquets and delivering the bouquets to its commercial customers. Co...
• Question Rafael transfers the following assets to Crane Corporation in exchange for all of its stock QuestionRafael transfers the following assets to Crane Corporation in exchange for all of its stock.Note: Assume that neither Rafael nor Crane plans to make any special t...
• Question 6 Exercise 6-10 Companywide and Segment Break-Even Analysis [LO6-5] Crossfire Company segme Question6 Exercise 6-10 Companywide and Segment Break-Even Analysis [LO6-5] Crossfire Company segments its business into two regions East and West. The company prepared a...
• Question Quality Data manufactures two products, CDs and DVDs, both on the same assembly lines and p QuestionQuality Data manufactures two products, CDs and DVDs, both on the same assembly lines and packaged 10 disks per pack. The predicted sales are 400,000 packs of CDs...
• Question Quatro Co. issues bonds dated January 1. 2013. with a par value of $850,000. The bonds' QuestionQuatro Co. issues bonds dated January 1. 2013. with a par value of $850,000. The bonds' annual contract rate is 12%. and interest is paid semiannually on June...
• Question Q8. What amount will reduce the amount due on an invoice of $1940 by $740 if the terms of t QuestionQ8. What amount will reduce the amount due on an invoice of $1940 by $740 if the terms of the invoice are 5/10, n/30 and the payment was made during the discount ...
• Question 3. When a firm redesigns a product to reduce the number of component parts the firm is a) I Question3. When a firm redesigns a product to reduce the number of component parts the firm isa) Increasing consumer valueb) Increasing the value added to the productc) D...
• a. On January 1, 2017, Frances Corporation started doing business and the owners contributed $200,00 a. On January 1, 2017, Frances Corporation started doing business and the owners contributed $200,000 capital in cash b. The company paid $24,000 to cover the rent for th...
• Engineering Economics 4 The capital investment for a new machine is $900,000. The current estimated Engineering Economics  4 The capital investment for a new machine is $900,000. The current estimated annual expense is $100,000.This expense is estimated to increase at ...
• do assignment exercise 8-2 “calculating the contribution margin” number 1 and 2 10 profit. (In this do assignment exercise 8-2 “calculating the contribution margin” number 1 and 2  10 profit. (In this example fixed Uult left to contribute toward profit.) Exercise 8-II:...
• Assume these are the stock market and Treasury bill returns for a 5-year period T-Bill Stock Market Assume these are the stock market and Treasury bill returns for a 5-year period T-Bill Stock Market Return (%) Return (%) Year 2011 -34.03 4.40 32.10 14.16 2012 0.80 2013...
• You are a consultant to XY Corporation. The firm seeks your advice for the elaboration of a hedging 1 You are a consultant to XY Corporation. The firm seeks your advice for the elaboration of a hedging strategy against interest rate risk. Four years from now, XY will need...
• DAYS SALES OUTSTANDING Baxley Brothers has a DSO of 20 days, and its annual sales are $7,300,000. Wh DAYS SALES OUTSTANDING Baxley Brothers has a DSO of 20 days, and its annual sales are $7,300,000. What is its accounts receivable balance? Assume that it uses a 365-day y...
• Georgia, Inc. has collected the following data on one of its products. The direct materials quantity Georgia, Inc. has collected the following data on one of its products. The direct materials quantity variance IS. Direct materials standard (3 lbs $1/1b) Total direct mat...
• Instructions Use Internet based Software The Foremost Composite Materials Company is planning a two-  Instructions Use Internet based Software The Foremost Composite Materials Company is planning a two-day sales conference for October 19- 20, starting with a reception ...
• Lillian Fok is president of Lakefront Manufacturing, a producer of bicycle tires. Fok makes 1,200 ti Lillian Fok is president of Lakefront Manufacturing, a producer of bicycle tires. Fok makes 1,200 tires per day with the following resources: 425 hours per day@ $12.00 pe...
• Get Fit Now gains a client who prepays $540 for a package of six physical training sessions Get Fit Now collects the $540 in advance and will provide the training later After four training sessions Get Fit Now gains a client who prepays $540 for a package of six physical training sessions. Get Fit Now collects the $540 in advance and will provide the training later....
• Clean Water Softener Systems has Cash of $600 Accounts Receivable of $900 and Office Supplies of $400 Clean owes $500 on Accounts Payable and has Salaries Payable of $200 current ratio Clean Water Softener Systems has Cash of $600, Accounts Receivable of $900, and Office Supplies of $400. Clean owes $500 on Accounts Payable and has Salaries Payable of $...
• Preparing a worksheet closing entries and a post closing trial balance San Antonio Veterinary Hospital completed the following worksheet as of December 31 2016 Requirements 1 Complete the Preparing a worksheet, closing entries, and a post-closing trial balance San Antonio Veterinary Hospital completed the following worksheet as of December 31, 2016.Require...
• Business Plan & Funding Requirements 100% of Module Grade You are required to write an individual 2000 word business plan comprising of two parts 1 Business Plan approximately Business Plan & Funding Requirements [100% of Module Grade] You are required to write an individual 2,000 word business plan comprising of two parts: 1. Business Plan - a...
• Accounting for uncollectible accounts using the allowance method and reporting net accounts receivable on the balance sheet Crystal Clear Cleaning uses the allowance method to estimate bad debts Accounting for uncollectible accounts using the allowance method and reporting net accounts receivable on the balance sheet Crystal Clear Cleaning uses the allowance meth...
• A Company is considering an investment of $600000 in a new motorcycle model They expect to increase sales in each of the next three years by $400000 while increasing expenses by $200000 each year A Company is considering an investment of $600,000 in a new motorcycle model. They expect to increase sales in each of the next three years by $400,000, while increasing ...
• Which statement best describes Libertys acidtest ratio for 2017 a Greater than 1 b Equal to 1 c Less than 1 d None of the above Which statement best describes Liberty’s acid-test ratio for 2017?a. Greater than 1b. Equal to 1c. Less than 1d. None of the above
• Which statement best describes Libertys acid test ratio for 2017 a Greater than 1 b Equal to 1 c Less than 1 d None of the above Which statement best describes Liberty’s acid-test ratio for 2017?a. Greater than 1b. Equal to 1c. Less than 1d. None of the above
• A Company is considering an investment of $600000 in a new motorcycle model They expect to increase sales in each of the next three years by $400000 while increasing expenses by  A Company is considering an investment of $600,000 in a new motorcycle model. They expect to increase sales in each of the next three years by $400,000, while increasing...
• Suppose Carrie decides to lease a photocopier and open up a black and white photocopying service in her dorm room for use by faculty and students Her total cost as a function of the number of copies Suppose Carrie decides to lease a photocopier and open up a black-and-white photocopying service in her dorm room for use by faculty and students. Her total cost, as a fu...
• Sometimes our discussion of marginal cost and marginal revenue unintentionally hides the real issue the entrepreneurs quest to maximize total profits Here is information on a firm Using this Sometimes, our discussion of marginal cost and marginal revenue unintentionally hides the real issue: the entrepreneur’s quest to maximize total profits. Here is informat...
• For the following three cases calculate i The marginal revenue curve ii The level of output where MR MC ie set the equation from item i equal to marginal cost and solve for Q iii The For the following three cases, calculatei. The marginal revenue curveii. The level of output where MR = MC (i.e., set the equation from item i equal to marginal cost and ...
• Commonwealth Construction CC needs $3 million of assets to get started and it expects to have a basic earning power ratio of 20% CC will own no securities so all of its income will be operating Commonwealth Construction (CC) needs $3 million of assets to get started, and it expects to have a basic earning power ratio of 20%. CC will own no securities, so all of ...
• Nonconstant Growth Valuation A company currently pays a dividend of $175 per share D0 $175 It is estimated that the companys dividend will grow at a rate of 21% per year for the next 2 years Nonconstant Growth Valuation A company currently pays a dividend of $1.75 per share (D0 = $1.75). It is estimated that the companys dividend will grow at a rate of 21% pe...
• An investor would like to purchase a new apartment property for $2 million However she faces the decision of whether to use 70 percent or 80 percent financing The 70 percent loan can be obtained An investor would like to purchase a new apartment property for $2 million. However, she faces the decision of whether to use 70 percent or 80 percent financing. The 70 p...
• What is the net present value of a project that has an initial cash outflow of $12670 and the following cash inflows The required return is 125% Year Cash flow What is the net present value of a project that has an initial cash outflow of $12,670 and the following cash inflows? The required return is 12.5%.Year Cash flow1 4,3752...
• Suppos than a firm has a 30 day DSO Determine the firms DIH if the operating cycle is a 30 dyas b 60 days c 80 days 2. Suppose that a firm has a 50 day DIH and a 30 day DPO Determine the Suppos than a firm has a 30-day DSO. Determine the firms DIH if the operating cycle is:a. 30 dyasb. 60 daysc. 80 days2. Suppose that a firm has a 50-day DIH and a 30 day ...
• Zang international Chinese chemical company has a 15% annual coupon interest rate on a $1000 par value bond with 20 years left to maturity Bonds of same maturity now sell to yield Zang international Chinese chemical company has a 15% annual coupon interest rate on a $1,000 par value bond with 20 years left to maturity. Bonds of same maturity now se...
• The 2008 balance sheet of Marias Tennis Shop Inc showed $255 million in long term debt $740000 in the common stock account and $605 million in the additional paid in surplus account The The 2008 balance sheet of Marias Tennis Shop, Inc., showed $2.55 million in long-term debt, $740,000 in the common stock account, and $6.05 million in the additional paid...
• Amtrak Bus Lines is proud of its six week bus driver training program that it conducts for all new Amtrak drivers As long as the class size remains less than or equal to 35 a six week training Amtrak Bus Lines is proud of its six-week bus driver training program that it conducts for all new Amtrak drivers. As long as the class size remains less than or equal to...
• Toadies Inc has identified an investment project with the following cash flows Year Cash Flow 1 $1211 2 $1381 3 $1402 4 $1455 If the discount rate Toadies, Inc., has identified an investment project with the following cash flows.Year   Cash Flow1         $12112         $13813         $14024         $1455If the disco...
• 9 year bond has a yield of 6% and a duration of 7982 years If the market yield changes by 35 basis points what is the percentage change in the bonds price 9-year bond has a yield of 6% and a duration of 7.982 years. If the market yield changes by 35 basis points, what is the percentage change in the bond’s price?
• Ackerman Co has 7 percent coupon bonds on the market with six years left to maturity The bonds make annual payments If the bond currently sells for Ackerman Co. has 7 percent coupon bonds on the market with six years left to maturity. The bonds make annual payments. If the bond currently sells for $862.23, what is it...
• This is an Accounting Class for Family Tax Planning On June 1 2013 Mario entered into a contract to sell real estate for$1 million adjusted basis $200000 The sale was conditioned on a rezoning This is an Accounting Class for Family Tax PlanningOn June 1, 2013, Mario entered into a contract to sell real estate for$1 million (adjusted basis $200,000). The sale wa...
• Alternatives Very Favorable Market Average Market Unfavorable Market Build new plant $350000 $240000 $300000 Subcontract Alternatives   Very Favorable Market   Average Market   Unfavorable Market Build new plant   $350,000   $240,000   -$300,000 Subcontract   $180,000   $90,000   -$20,000...
• Amortization schedule with periodic payments Moulton Motors is advertising the following deal on a new Honda Civic Monthly payments of $37365 for the next 60 months and this beauty can be Amortization schedule with periodic payments. Moulton Motors is advertising the following deal on a new Honda? Civic: "Monthly payments of ?$373.65 for the next 60 months...
• What was the amount of underapplied or overapplied overhead in each department at the end of the year Round Predetermined overhead rate to 2 decimal places other intermediate calculations and What was the amount of underapplied or overapplied overhead in each department at the end of the year? (Round "Predetermined overhead rate" to 2 decimal places, other int...