• Q : Calculate minimum fixed charge coverage ration....
    Finance Basics :

    Foot Locker, Inc., reported an $18 million loss on sales of $1,283 million for the quarter ended August 4, 2007. The quarterly financial filling (10-Q) also contained this warning for investors and cr

  • Q : Calculating required rate of return and aftertax cost....
    Finance Basics :

    Suppose the RiskFree Rate is 8%, the Expected Return this year on the S&P 500 stock market index is 13%, and the stock of Joe's Junkyard has a Beta of 1.4.

  • Q : Find the ebit indifference level with financing proposals....
    Finance Basics :

    A group of graduates have decided to form a small manufacturing corporation. The company will produce a full line of traditional office furniture. Two financing plans have been proposed by the investo

  • Q : Calculate maximum additional short-term funding....
    Finance Basics :

    B.J. Industries has a current ratio of 2.5, with $2.5 million in current assets. Due to sales growth, the company wants to expand accounts receivable and inventories by taking on additional short-term

  • Q : Computing the monthly deposit value....
    Finance Basics :

    Mr. Moore will be 35 years at the end of the month and he wishes to retire in 25 years. He plans to invest in a mutual fund earning 7.5 percent annual return compounded monthly and have a $1.5 million

  • Q : Computing standard deviation of a portfolio....
    Finance Basics :

    Aquaman stock has exhibited a standard deviation in returns of 0.7, whereas Green Lantern stock has exhibited a standard deviation of 0.8. The correlation coefficient between the stock returns is 0.1.

  • Q : Calculate geometric average return for the period....
    Finance Basics :

    You have the following rates of return for a risky portfolio for several recent years. Assume that the stock pays no dividends.

  • Q : Discuss characteristics of an efficient portfolio....
    Finance Basics :

    What are characteristics of an efficient portfolio? How are a portfolio's return and standard deviation determined? How must assets be evaluated to achieve a minimum variance portfolio? Explain your a

  • Q : Determine firms ebitda....
    Finance Basics :

    In 2010, Jack's Art Gallery sold 200 original works of art for $1,240,520. The gallery acquired the works sold for $530,000. Each painting was framed using predesigned framing kits in the gallery's ow

  • Q : Depreciation and amortization....
    Finance Basics :

    Jake Smith opened his Balinese coffee shop business in downtown Boise on January 1st 2010. On December 31st, 2010, he sat down with his accountant to figure out how his business had done in its first

  • Q : Determine the safety stock and reorder point....
    Finance Basics :

    The daily demand of a product can be specified by a normal distribution the average daily demand is 250 units with a standard deviation of 40" units.

  • Q : Determine factors influence state revenue collections....
    Finance Basics :

    As of 2009, many state governments were experiencing fiscal problems, and tax revenues were falling short of planned expenditures. What factors can influence state revenue collections and expenditures

  • Q : Determine interest expense using straight-line amortization....
    Finance Basics :

    A company issues 20,000,000, 7.8%, 20 year bonds to yield 8% on January 1, 2010. Interest is paid on June 30 and December 31. The proceeds from the bonds are 19,604,145.

  • Q : Computation of effective annual yield....
    Finance Basics :

    The treasurer of DeShack Company has approximately $1,000,000 to invest for the next 60 days. She is considering the purchase of a T-bill with the following characteristics: face value of $1,000,000,

  • Q : Determine average-risk project....
    Finance Basics :

    A company estimates that an average-risk project has a cost of capital of 8 percent, a below-average risk project has a cost of capital of 6 percent, and an above-average risk project has a cost of ca

  • Q : Fixed income securities into investment portfolio....
    Finance Basics :

    Your provided investment included some stocks from Hong Kong, India and US, but I would like my equity investment to stay in Hong Kong, US and France financial market.

  • Q : Opportunity cost into the buy decision....
    Finance Basics :

    How does opportunity cost enter into the make or buy decision? What would be an example of a decision that you might make in your personal life that would involve an opportunity cost?

  • Q : Sustainable mean in sustainable growth model....
    Finance Basics :

    What does the word sustainable mean in sustainable growth model? In what ways can the sustainable growth model highlight conflicts between a firm's competing objectives?

  • Q : Calculate projected profit under the guarantee deal....
    Finance Basics :

    You have decided to become a rock concert promoter and have made arrangements with Jerry Jones (and Arlington) to rent the new Texas Stadium for one night for a cost of $1,000,000 plus a $7 per ticket

  • Q : Estimate the total gross profit margin....
    Finance Basics :

    Nevada Company provided the following information regarding its only product: skateboards. What is the total gross profit margin (gross profit) for this product?

  • Q : Computing the percent return to the investment....
    Finance Basics :

    A new tax is levied on airline profits to finance improvements in the nation's airports. The current market rate of interest is 8%. However, airline profits are subject to a 50% tax.

  • Q : Roe and working capital policy....
    Finance Basics :

    Shanklin Inc. purchases merchandise on terms of 2/15, net 40, and its total gross purchases (i.e., purchases before taking off the discount) are $800,000 per year.

  • Q : Calculate current total annual inventory cost....
    Finance Basics :

    Novelty Gifts is experiencing some inventory control problems. The manager currently orders 10,000 units four times each year to handle annual demand of 40,000 units.

  • Q : Setup an income statement and a balance sheet....
    Finance Basics :

    Based on the financial information below, prepare an income statement and a balance sheet for Joe's-Fly-by-Night Oil company for the year ended December 31, 2011.

  • Q : Investment and managerial finance....
    Finance Basics :

    GRP Corporation has $500,000 in a bank account paying 0.35% annual interest. As an alternative to leaving the money in the account, the company is considering investing the entire amount for five year

©TutorsGlobe All rights reserved 2022-2023.