You are given the following information for 1994: Sales = $50,000, CoG’s = $15,000, Depreciation =...

You are given the following information for 1994: Sales = $50,000, CoG’s = $15,000, Depreciation = $5000, tax rate = 40%, Net Capital Spending = $15,000, Additions to Net Working Capital = $5000. Calculate EBIT, OCF, and CFA. Do you have to be worried if the CFA is negative? Explain.

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jeff jeffy answered 1 year ago

You are given the following information: 2018 Sales $23,000 Cost of goods sold $16,000 Depreciation expense...

You are given the following information: 2018 Sales $23,000 Cost of goods sold $16,000 Depreciation expense $4,000 Interest $1,800 Dividends $1,300 Tax rate 35% New debt issuance $2,000 2017 2018 Current assets $4,800 $5,900 Current liabilities $2,700 $3,200 Net fixed assets $14,000 $17,000 a. Calculate the operating cash flow for 2018. (Hint: Taxes = Earnings before taxes x Tax rate) (show your work) b. Calculate the cash flow from assets for 2018. (show your work ) c. Calculate the cash...

Given the following information, calculate the ROE. Sales = $350,000; Net Income = $50,000; Total assets...

Given the following information, calculate the ROE. Sales = $350,000; Net Income = $50,000; Total assets = $500,000; D/E = 1.5. a. 30% b. 20% c. 15% d. 25% e. 10%

3. Given the following information for Gandolofino Pizza Co, calculate the depreciation expense. Sales = $61,000;...

3. Given the following information for Gandolofino Pizza Co, calculate the depreciation expense. Sales = $61,000; COGS = $29,600; addition to retained earnings = $5,600; dividends paid = $1,950; interest exp = $4,300; tax rate = 35%

Given the following information for O'Hara Marine Co., calculate the depreciation expense: sales = $77,000; costs...

Given the following information for O'Hara Marine Co., calculate the depreciation expense: sales = $77,000; costs = $39,000; addition to retained earnings = $10,800; dividends paid = $2,820; interest expense = $3,150; tax rate = 21 percent. (Do not round intermediate calculations and round your answer to the nearest whole dollar amount, e.g., 32.)

Given the following information for O'Hara Marine Co., calculate the depreciation expense: sales = $73,000; costs...

Given the following information for O'Hara Marine Co., calculate the depreciation expense: sales = $73,000; costs = $37,200; addition to retained earnings = $9,800; dividends paid = $2,620; interest expense = $2,950; tax rate = 24 percent. (Do not round intermediate calculations and round your answer to the nearest whole dollar amount, e.g., 32.)

Following information for company XYZ in 2015 is given: sales $550 000, cost $332 000, depreciation...

Following information for company XYZ in 2015 is given: sales $550 000, cost $332 000, depreciation expense $120 000, interest expense 60 000, dividends 16 000, tax rate 35% percent. a) prepare income statement b) calculate company XYZ profit margin c) If company XYZ has total assets $250 000 and equity multiplier 2.5. What is return on equity (ROE) based on DuPoint identity? d) Discuss the three components of DuPoint identity

You are given the following information: Project A Project B Investment $125,000 $100,000 CF-1 $12,500 $15,000...

You are given the following information: Project A Project B Investment $125,000 $100,000 CF-1 $12,500 $15,000 CF-2 $15,000 $25,000 CF-3 $25,000 $20,000 CF-4 $40,000 $10,000 CF-5 $60,000 $15,000 CF-6 $70,000 $35,000 Required rate of return 10% 10% Compute the following: a) MIRR for Project A b) MIRR for Project B c) Profitability Index for Project A d) Profitability Index for Project B

The Redding Co has sales of $116,097, operating costs of $68,608, depreciation of $15,000, and debt of...

The Redding Co has sales of $116,097, operating costs of $68,608, depreciation of $15,000, and debt of $9,000 for which it pays 8% interest. If it is paying taxes at 35% what is its net income?

CLAD Corp Inc. reported the following: Sales $15,000 Op Costs (including depreciation) $6,000 Op Income (EBIT)...

CLAD Corp Inc. reported the following: Sales $15,000 Op Costs (including depreciation) $6,000 Op Income (EBIT) $9,000 WACC 10.00% Tax Rate 40% Investor-supplied capital $20,000 What is the Economic Value Added (EVA)?

You have the following information about the James E. Briley company. Sales $225,000 Operating Expenses $50,000...

You have the following information about the James E. Briley company. Sales $225,000 Operating Expenses $50,000 Depreciation $25,000 If the company borrows money, it will borrow $50,000 at an interest rate of 11 percent, which is considered to be the risk free rate of interest. Thus, the total annual interest payments will be $5,500. When appropriate the corporate tax rate (Tc) is 34 percent, the personal taxi rate on income from bonds (Tpb) is 40 percent and the personal tax...

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