Cause a decrease in cash

Assignment Help Financial Management
Reference no: EM131528495

Which of the following would cause a decrease in cash?

a. An increase in the Average Collection Period from 15 days to 30 days

b. Selling off fixed assets for more than the book value

c. An increase in accrued salaries expense

d. Paying suppliers in 60 days versus 45 days

Reference no: EM131528495

Questions Cloud

What is the firm weighted average cost of capital : A firm has a cost of debt of 7.8 percent and a cost of equity of 15.6 percent. What is the firm's weighted average cost of capital?
What is the present value of the tax shield it will create : what is the present value of the tax shield it will create?
Affects the market value of a share of stock : One of the factors that affects the market value of a share of stock is actual earnings and anticipation of changes in earnings
What is the intrinsic value of bogey common stock : What is the intrinsic value of Bogey's common stock?
Cause a decrease in cash : Which of the following would cause a decrease in cash?
Direct send-single : Ocean Research of San Diego, California, just received a check in the amount of $800,000 from a customer in Bangor, Maine.
Opportunity to manage the company cash on behalf : As a corporate financial manager, you have the opportunity to manage the company's cash on behalf of its owners (shareholders.)
Do you need to consider start-up costs as part of the plan : Do you need to consider start-up costs as part of the plan?
Parts included in the financial section of a business plan : One of the parts included in the financial section of a business plan is pro forma financial statements.

Reviews

Write a Review

Financial Management Questions & Answers

  Find the present value of this annuity if initial payment

Consider an annuity-immediate with monthly payments for twenty years. The payments are level in the course of each year, then increase by 2% for the next year. Find the present value of this annuity if the initial payment is $1,000 and i = 4%.

  Investors expectation of price of the stock at end of year

A share of stock with a beta of .84 now sells for $59. Investors expect the stock to pay a year-end dividend of $4. The T-bill rate is 3%, and the market risk premium is 6%. If the stock is perceived to be fairly priced today, what must be investors’..

  What is the gross profit margin

If sales are EUR 24,000 and cost of sales is EUR 18,000, then what is the gross profit margin?- Sales are EUR 30,000 and gross profit margin is 20 per cent. What is cost of sales?

  What amount will the firm be able to depreciate

Underwater swimwear recently purchased a new machine for $350,000. It cost 20,000 to ship the machine to underwater's facility, and it cost another $50,000 to get it installed. Purchase of the new machine will require Underwater to increase its worki..

  Coupon bond-rate of return and price

Suppose you buy a 9.6 percent coupon bond today for $1,090. The bond has 6 years to maturity. a. What rate of return do you expect to earn on your investment? Two years from now, the YTM on your bond has increased by 2 percent, and you decide to sell..

  Distributed strictly according to precedence

Elixir Corporation has just filed for bankruptcy. Elixir is a holding company whose assets consist of real estate worth $160 million and 100% of the equity of its two operating subsidiaries. How much will each security holder receive if the assets ar..

  Calculate new market-to-book ratio

Assume a constant price-earnings ratio. Calculate the new book value per share. Calculate the new market-to-book ratio.

  Yield to maturity on premium bond exceeds bond coupon rate

The current yield on a par value bond will exceed the bond's yield to maturity. The yield to maturity on a premium bond exceeds the bond's coupon rate. The current yield on a premium bond is equal to the bond's coupon rate. A premium bond has a curre..

  Describe the importance of international capital structure

Describe the importance of international capital structure. What risks can you identify when working with cash, credit and inventory management? Provide your rationale and any supporting data.

  Broussard skateboards sales are expected to increase

Use the AFN equation to forecast Broussard's additional funds needed for the coming year.

  What best describes operating profit margin

What is the project net cash flow (OCF) for year 2 and what is the book value at the end of year 3 - What is the discounted payback for this project - Construct income statement and what best describes operating profit margin.

  Features of bonds except

All of the following are features of bonds except

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd