2. Income statements and balance sheets follow for Snap-On Incorporated. Refer to these financial statements to answer the requirements.

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Required:

2015. Compute net operating profit after tax (NOPAT) for 2016 and 2015. Assume that combined federal and state statutory tax rates are 37% for fiscal 2016 and 2015.
2016. Compute net operating assets (NOA) for 2016 and 2015.
2017. Compute return on net operating assets (RNOA) for 2016 and 2015. Net operating assets are $3,011.7 million in 2014.
2018. Compute return on equity (ROE) for 2016 and 2015. (Stockholders’ equity attributable to Snap-On in 2014 is $2,207.8 million.)
2019. What is nonoperating return component of ROE for 2016 and 2015?
2020. Comment on the difference between ROE and RNOA. What inference do you draw from this comparison?

Zayas, LLC, has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 - 78500 -78500 1 43000 21000 2 29000 28000 3 23000 34000 4 21000 41000 if the required return is 12 percent, what is the NVP for each of these projects? Which project will you choose if you apply the NVP decision rule? Which project should the company accept? What discount rate would you be indifferent between these two projects ?

Ricky's Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash $ 6,900 Accounts Payable $ 8,500 Accounts Receivable 25,250 Deferred Revenue (deposits) 5,200 Supplies 1,350 Notes Payable (long-term) 43,500 Equipment 15,300 Common Stock 15,000 Land 6,900 Retained Earnings 6,200 Building 22,700 Following are the January transactions: a.Received a $865 deposit from a customer who wanted her piano rebuilt in February. b.Rented a part of the building to a bicycle repair shop; $345 rent received for January. c.Delivered five rebuilt pianos to customers who paid $11,925 in cash. d.Delivered two rebuilt pianos to customers for $6,800 charged on account. e.Received $4,800 from customers as payment on their accounts. f.Received an electric and gas utility bill for $440 for January services to be paid in February. g.Ordered $995 in supplies. h.Paid $1,600 on account in January. i.Paid $10,300 in wages to employees in January for work done this month. j.Received and paid cash for the supplies in (g).

How to come up with a income statement for the month ended and at January 31.

How to come up with a statement of retained earnings for the month ended and at January 31.

How to come up with a classified balance sheet for the month ended and at January 31.

Future value​ (with changing interest​ rates). Jose has ​$8,000 to invest for a 2​-year period. He is looking at four different investment choices.

What will be the value of his investment at the end of 2 years for each of the following potential​ investments?

a.  Bank CD at 4.5​%.

b.  Bond fund at 7.5​%.

c. Mutual stock fund at 12​%.

d.  New venture stock at 25​%.

a.  What will be the value of​ Jose's bank CD investment that offers an annual rate of return of 4.5​% for 2 ​years? ​$ ___  ​(Round to the nearest​ cent.)

b.  What will be the value of​ Jose's bond fund investment that offers an annual rate of return of 7.5​% for 2 ​years? ​$ ___​ (Round to the nearest​ cent.)

c.  What would be the value of​ Jose's mutual stock fund investment if it earns an annual rate of return of 12​% for 2 ​years? ​$___ ​(Round to the nearest​ cent.)

d.  What would be the value of​ Jose's new venture stock investment if it earns an annual rate of return of 25​% for 2 ​years? ​$____ ​(Round to the nearest​ cent.)

Respond to you thoughts on this discussion in 150 words

It is important in today’s world to be able to understand present and future value in the monetary system when making any decisions. Due to the need of understanding the calculations, I have chosen the green side for this discussion. One reason is that even outside of a business environment, the use of understanding the calculations of present and future value are necessary. An example that comes to mind is one of my coworkers and his finance have decided to buy a house. He has had to determine what the future value of his mortgage payments would be today to make the decision on what would be the best option home for him and his finance. This requires him to have more of an understanding of the calculations that the tools used to make these calculations. Another example that comes to mind for this side is equipment. My father, though he is employed by the military, also runs a farm. He has spent numerous occasions calculating the resent value of purchasing equipment and the payments that come with the purchase. One of the reasons that I have chosen the green side, is that he may understand that he may be pay $650 in six months for a tractor, but what would that payment be considered today. This ultimately means that though he has the tools required to perform the calculations needed; without the knowledge of how the calculations work within the monetary system, he would not understand the significance of the calculation itself. Technology is a great tool to use when working with equations such as the present value formula; however, just like there is human error, technology also could have errors that can change the value of the calculation that could end up causing people to have slightly false information. It would benefit people to have an understanding of the formulas in the monetary sense rather than just putting the information into a computer system or calculator and using that answer without knowledge of why we use the calculation.

Find the convexity of a 10-year maturity, 5% coupon bond selling at a yield to maturity of 6%. the bond pays its coupons annually.

Ricky’s Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash $ 6,900 Accounts Payable $ 8,500 Accounts Receivable 25,250 Deferred Revenue (deposits) 5,200 Supplies 1,350 Notes Payable (long-term) 43,500 Equipment 15,300 Common Stock 15,000 Land 6,900 Retained Earnings 6,200 Building 22,700 Following are the January transactions: a.Received a $865 deposit from a customer who wanted her piano rebuilt in February. b.Rented a part of the building to a bicycle repair shop; $345 rent received for January. c.Delivered five rebuilt pianos to customers who paid $11,925 in cash. d.Delivered two rebuilt pianos to customers for $6,800 charged on account. e.Received $4,800 from customers as payment on their accounts. f.Received an electric and gas utility bill for $440 for January services to be paid in February. g.Ordered $995 in supplies. h.Paid $1,600 on account in January. i.Paid $10,300 in wages to employees in January for work done this month. j.Received and paid cash for the supplies in (g). How to do a income statement for the month ended and at January 31. How to do a statement of retained earnings for the month ended and at January 31. How to do a classified balance sheet for the month ended and at January 31.

What is a share repurchase and is it better than paying dividends? Compare, contrast and explain your results.

Pittsburg Savings & Loan makes four kinds of loans. These loans, with the yearly interest rate charged to customers, are shown in the table below.

Type of Loan                              Interest Charged (%, percent)

Commercial Loans                                           8

Home Mortgages                                  4

Home Improvements                              6

Short-term revolving loans                     10

The bank has $25 million in available funds. Its objective is to maximize yield on investment. The demand for short-term revolving loans never exceeds $10 million. Also there are policies and regulations on loans:

a.    Home improvement loans cannot be higher than 40 percent of home mortgage loans.

b.    Commercial loans cannot be higher than 20 percent of the home mortgage loans.

c.    The bank must invest at least 50 percent of the loans outstanding (total loans) in mortgages.

Formulate this problem as an LP.

compare and contrast the NYSE with the NASDAQ. What are the listing requirements for both markets? Typically, what types of companies would you find listed on each market?

The Nelson Company has $1,687,500 in current assets and $675,000 in current liabilities. Its initial inventory level is $405,000, and it will raise funds as additional notes payable and use them to increase inventory.

1. How much can Nelson's short-term debt (notes payable) increase without pushing its current ratio below 1.7? Round your answer to the nearest cent.

   $  

2. 
   
3. What will be the firm's quick ratio after Nelson has raised the maximum amount of short-term funds? Round your answer to two decimal places.

Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars)

Rhodes Corporation: Balance Sheets as of December 31 (Millions of Dollars)

1.What is the free cash flow for 2016? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to one decimal place.

2.What is the ROIC for 2016? Round your answer to two decimal places.

How much of the FCF did Rhodes use for each of the following purposes: after-tax interest, net debt repayments, dividends, net stock repurchases, and net purchases of short-term investments? (Hint: Remember that a net use can be negative.) Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.

3.Reduction (increase) in debt

4. A bond offers a coupon rate of 6%, paid annually, and has a maturity of 11 years. The current market yield is 3%. If market conditions remain unchanged, what should the price of the bond be in 1 year?

ASSIGNMENT:

Please respond to the following:

1. Define the following types of business ownership.
   • Sole Proprietorship
   • Partnership
   • Corporation
   • Limited Liability Company
2. For each of the types of business ownership listed in #1 above, list the pros (advantages) and cons (disadvantages). Be sure to pay close attention to liability and tax treatment for each type of business ownership.
3. If you were starting a new business, which of the five types of business ownership listed in #1 above would you choose? Why? Before you make a decision, review your pros/cons list for each type that you prepared in #2. To maximize your grade, be sure to provide detailed support for your choice.  

Requirements:

• Minimum Page Length – 2 full pages