• Q : What was the cash flow from operating activities....
    Finance Basics :

    Cash flow from long term investing activities totaled -250,000 and cash flow from financing activities totaled +170,000. What was the cash flow from operating activities?

  • Q : Cash flow of project using tax shield approach....
    Finance Basics :

    The store has a marginal tax rate of 30 percent. What is the operating cash flow of the project using the tax shield approach?

  • Q : How much would the bonds sell for today....
    Finance Basics :

    Assume that todays required rate of return on these bonds is 9%. how much would these bonds sell for today?

  • Q : Determining the equity cost of capital....
    Finance Basics :

    Spacefood Products will pay a dividend of $2.40 per share this year. It is expected that this dividend will grow by 3% per year each year in the future.

  • Q : Find implied forward rate on two-year bond originating....
    Finance Basics :

    Suppose the 7-year spot interest rate is 9 percent and the 5-year spot rate is 6 percent. What is the implied forward rate on a 2-year bond originating 5years from now?

  • Q : Determining the coupon rate on bonds....
    Finance Basics :

    Rekall Vacations Inc has bonds on the market with 17.5 years to maturity, a YTM of 7.80 percent, and a current price of $1,066. The bonds make semiannual payments.

  • Q : Case study of rhiannon corporation....
    Finance Basics :

    Rhiannon Corporation has bonds on the market with 13.5 years to maturity, a YTM of 7.6 percent, and a current price of $1,175. The bonds make semiannual payments.

  • Q : What is the expected inflation rate in given year....
    Finance Basics :

    Using the expectations theory, what is the yield on a 1- year bond 1 year from now? What is the expected inflation rate in Year 1 ? Year 2?

  • Q : What is the price-sales ratio....
    Finance Basics :

    The price"?oearnings per share? If the stock currently sells for $47 per share, what is the market-to-book ratio? The price-earnings ratio? If total sales were $15.4 million, what is the price-sales

  • Q : Question about the ytm....
    Finance Basics :

    Stone Sour Corp. issued 10-year bonds 2 years ago at a coupon rate of 7.80 percent. The bonds make semiannual payments. If these bonds currently sell for 108 percent of par value, what is the YTM?

  • Q : What does market believe that securities will be yielding....
    Finance Basics :

    If the pure expectations theory is correct, what does the market believe that 2-year securities will be yielding 4 years from now?

  • Q : Determining the annual rate of inflation....
    Finance Basics :

    If the same market basket cost $1,000 in year 2, what is the CPI for year 2? What was the annual rate of inflation for year 2?

  • Q : Expected rate of return on the market....
    Finance Basics :

    It will pay a dividend of $6 per share at the end of the year. Its beta is 1. What do investors expect the stock to sell for at the end of the year? Assume the risk-free rate is 4% and the expected

  • Q : What is the required return....
    Finance Basics :

    Rabie, Inc., has an issue of preffered stock outstanding that pays a $3.80 dividend every year, in perpetuity. If this issue currently sells for $78.45 per share, what is the required return?

  • Q : Find present value of five-year ordinary annuity....
    Finance Basics :

    The present value of a five-year ordinary annuity of $300 discounted at 0% that has its first cash flow six years from today?

  • Q : What is the firm-s sustainable growth rate....
    Finance Basics :

    Renewal Company has net income of $1.25 million and a dividend payout ratio of 35 percent. It currently has equity of $2,875,223. What is the firm"s sustainable growth rate?

  • Q : How much would the company lose by not hedging....
    Finance Basics :

    What is the dollar value of its receivables? If it does not enter into a forward contract and the spot rate 60 days later is $1.7635/£, how much would the company lose by not hedging?

  • Q : What are asset turnover and profit margin....
    Finance Basics :

    Its assets are $14 million at the beginning of the year and $18 million at the end of the year. What are Linebarger"s (a) asset turnover and (b) profit margin?

  • Q : Find inventory turnover and accounts receivable turnover....
    Finance Basics :

    Compute the following ratios at December 31, 2015. Acid-test ratio. Accounts receivable turnover. Inventory turnover.

  • Q : Compute the present value of the preferred stock....
    Finance Basics :

    The market yield for preferred stocks of the same risk grade is 6.5 percent. Compute the present value of the preferred stock.

  • Q : Find optimal amount of stock that should be ordered....
    Finance Basics :

    The cost of placing an order each time is £90 and each item of inventory costs £2 to store. In this case, the optimal amount of stock that should be ordered would be.

  • Q : Earnings before interest-taxes....
    Finance Basics :

    Sheryl's Shipping had sales last year of $18,000. The cost of goods sold was $8,100, general and administrative expenses were $2,600, interest expenses were $2,100, and depreciation was $2,600. The

  • Q : Statement of cash flows of ann flowers....
    Finance Basics :

    Ann's Flowers, Inc. reported 2008 net income of $1 million and depreciation of $250,000. The top part of Ann's Flowers, Inc.'s 2007 and 2008 balance sheets is listed below (in millions of dollars).

  • Q : Dividend yield and the capital gains yield....
    Finance Basics :

    Suppose a stock had an initial price of $56 per share, paid a dividend of $1.60 per share during the year, and had an ending share price of $66. What was the dividend yield and the capital gains yie

  • Q : Determining the wacc of company....
    Finance Basics :

    Suppose that JB Cos. has a capital structure of 66% equity, 34% debt, and that its before-tax cost of debt is 13% while its cost of equity is 19%.

©TutorsGlobe All rights reserved 2022-2023.