• Q : Finances of honda motors....
    Finance Basics :

    Application Report 1: Prepare a 1-2 page report, single spaced, that compares the finances of Honda Motors (HMC) to the finances of General Motors (GM). Why has HMC been so successful, and why has G

  • Q : What investors expect stock to sell for at the end of year....
    Finance Basics :

    A share of stock is now selling for $130. 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?

  • Q : How many units should firm produce during june....
    Finance Basics :

    The company keeps 15% of the next month's sales as ending inventory. How many units should Sargent.Com produce during June?

  • Q : Find the return on equity....
    Finance Basics :

    Samuelson's has a debt-equity ratio of 43 percent, sales of $10,000, net income of $1,700, and total debt of $8,700. What is the return on equity?

  • Q : Detroit memo....
    Finance Basics :

    On July 18, 2013 the city of Detroit, Michigan filed for bankruptcy protection under Chapter 9 of the United States Bankruptcy Code.

  • Q : What is the value of coupon rate bond....
    Finance Basics :

    What's the value of a 30-year, $1,000 par value, 6% coupon rate bond if the yield to maturity (YTM) decreases to 5%?

  • Q : Find the market-to-book ratio and price-sales ratio....
    Finance Basics :

    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 ratio?

  • Q : After-tax yield on the bonds....
    Finance Basics :

    Kim Davis is in the 40 percent tax bracket, She is considering investing in HCA (taxable) bonds that carry a 12 percent interest rate. What is her after-tax yield (interest rate) on the bonds?

  • Q : What is the firm-s cash conversion cycle....
    Finance Basics :

    Romano Inc. has the following data. What is the firm's cash conversion cycle? Inventory conversion period = 38 days

  • Q : Largest investing activities and financing activities....
    Finance Basics :

    What are the two largest investing activities and financing activities for each firm? Compare and contrast the investing and financing activities of the two companies.

  • Q : What is the inventory turnover....
    Finance Basics :

    Bobaflex Corporation has ending inventory of $426,163 and cost of goods sold for the year just ended was $6,238,615. What is the inventory turnover?

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

    A YTM of 7.80 percent, and a current price of $1,066. The bonds make semiannual payments. What must the coupon rate be on these bonds?

  • Q : After tax amount of the dividend....
    Finance Basics :

    Assume that a firm with a 35 percent tax rate receives $100,000in dividends from another corporation. What taxes must be paid on this dividends, and what is the after tax amount of the dividend?

  • Q : Find adjusting entry that company should make for interest....
    Finance Basics :

    If company praperes monthly financial statements, the adjusting entry that company should make for interest on september 30, would be?

  • 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

  • Q : Financial derivatives to hedge....
    Finance Basics :

    Assume that you are an external adviser of a Chinese chemical firm which produces in Korea for a market in France. The firm uses a range of inputs, crude oil and energy being amongst them.

  • Q : Question regarding npv and irr....
    Finance Basics :

    Given that its food packaging customers have been inquiring about its ability to supply complementary products, Apex is considering coffee packaging as an additional diversification to its product l

  • Q : What must the coupon rate be on bonds....
    Finance Basics :

    Merton Enterprises has bonds on the market making annual payments, with 14 years to maturity, and selling for $972.

  • Q : Worst-case operational risk loss....
    Finance Basics :

    Suppose that there is a 1% probability that operational risk losses of a certain type exceed $10 million. Use the power law to estimate the 99.97% worst-case operational risk loss when the parameter

  • Q : What is the arithmetic average return....
    Finance Basics :

    You purchased 1,300 shares of LKL stock 5 years ago and have earned annual returns of 7.1 percent, 11.2 percent, 3.6 percent, -4.7 percent and 11.8 percent. What is your arithmetic average return?

  • Q : Find operating cash flow of project by 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 : Determine the present values....
    Finance Basics :

    Determine the present values if $5,000 in the future (i.e., at the end of each indicated time period) in each of the following situations:

  • Q : What to pay for a share today....
    Finance Basics :

    The company just paid a dividend of $11.70, but management expects to reduce the payout by 4.5 percent per year, indefinitely.

  • Q : Summary of performance tests with exhibits....
    Finance Basics :

    Prepare a summary of performance tests and analysis of the target acquisition. Perform the following tests to help determine what the acquiring company will pay for the acquisition-this is a range. T

  • Q : Original purchase price....
    Finance Basics :

    Assume a local government buys a police patrol vehicle for $30,000 and plans to keep the vehicle for four years. Officials then plan to sell the truck for 15% of the original purchase price.

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