Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - Revenues generated by a new fad product are forecast as follows:
Year Revenues
Year 1 $40,000
Year 2 $30,000
Year 3 $20,000
Year 4 $5,000
Thereafter 0
Expenses are expected to be 40% of revenues, and working capital required in each year is expected to be 20% of revenues in the following year. The product requires an immediate investment of $49,000 in plant and equipment.
Required -
a. What is the initial investment in the product? Remember working capital.
b. If the plant and equipment are depreciated over 4 years to a salvage value of zero using straight-line depreciation, and the firm's tax rate is 20%, what are the project cash flows in each year? Assume the plant and equipment are worthless at the end of 4 years.
c. If the opportunity cost of capital is 10%, what is the project's NPV?
d. What is project IRR?
Prepare the income statement, statement of retained earnings, and balance sheet and Calculate the ratios: current ratio, quick ratio, debt ratio, accounts receivable turnover, and inventory turnover.
Laura's father, Albert, gave Laura a gift of 500 shares of Green Corporation common stock in the current year. Albert's basis for the Green stock was $10,000. At the date of this gift, the fair market value of the Green stock was $7,000. No gift tax ..
What is the percentage change in average PCE anticipated under JIT? Define the terms cycle time and processing (manufacturing) time. How can processing time be broken down further?
Give the journal entry and trial balance. July 19 Made a payment to the creditor for the supplies acquired in the July 1 transaction, P1,600
What amount should ABC include in total assets for the truck? ABC Company has a truck with cost of $60,000 and accumulated depreciation.
A store faces demand for one of its popular products at a constant rate of 3,300 units per year. It costs the store $65 to process an order to replenish stock and $15 per unit per year to carry the item in inventory. A shipment from the supplier is t..
The loan is repaid in 2013 and Marc has always made his interest payments on time, what will be the tax consequences of this loan?
Fixed Interest Charges Rs. 6,000, Debenture Redemption Fund Appropriation of Outstanding Debentures 10%. Calculate Debt service coverage ratio.
select a company that you are familiar with from the transportation industry.collect the 4 main financial statements
Estimate the firm's after-tax cost for long debt. Why do analysts use the after-tax measure in the calculation of a firm's cost of capital
At the most recent strategic planning meeting, the board of directors of Amazon has voted to issue additional stock to raise capital for major expansions for the company in the next five years. The board is considering $5 million. Analyze the impact ..
question this data relates to the cash account in the ledger of hawkins company.balance september 1-16400 cash
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd