Franktown Motors is expected to have an EBIT of $687,400 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $48,000, $7,000, and $42,000, respectively. All cash flow items are expected to grow at 6 percent per year for four years. After Year 5, the CFA* is expected to grow at 2.1 percent indefinitely. The company currently has $3.2 million in debt and 250,000 shares outstanding. The company's WACC is 9.9 percent and the tax rate is 21 percent. What is the price per share of the company's stock? Do not use excel.

1. The current interest rate in the US is 8% per year, while it is 10% in the UK. Currently, in the spot market, US $1 can be exchanged for GBP 0.875. Calculate the amount of 120-days forward exchange rate between US $ and GBP? Do you think the GBP exchange rate is classified as a premium or discount?

2. Lanyala Corp is considering two alternatives to find funds: (1) issuing straight bonds, and (2) issuing bonds-with-warrant. Both types of bonds have a maturity of 5 years. Currently the government bond interest rate is 6% and Lanyala Corp wants to provide a premium of 4% above the interest rate on government bonds for straight bonds, and only 1% premium for bonds-with-warrant. Suppose each bond is sold at a face value of $ 100 million, and a corporate tax of 25% is known. Based on the data above, calculate what is the warrant value for the second alternative?

3. Dell Corp. is considering acquiring a startup company Asus Corp. Based on last year's financial statements, Asus Corp reported obtaining a free cash flow (FCF) of $ 400 million, and is expected to experience a constant growth of 5% every year. The acquisition will be funded with 60% equity, and the remainder with debt with a fixed interest of 12% per year. There is a market return of 15%, a government bond interest rate of 6%, and an Asus Corp beta amount of 0.8. Corporate tax is 25%. Calculate what is the fair value of Asus Corp as the target company to be acquired by Dell Corp.

4. A construction company is considering building a machine worth $ 200 million with an economic age of 4 years with two funding alternatives: (1) 100% debt with 14% interest annually for 4 years; (2) leasing. The following data are known:
- The economic life of the asset is 4 years, and will be depreciated using the straight-line depreciation method
- Maintenance costs per year: $ 30 million
- 25% corporate tax
- Annual lease rent of $ 60 million
- Net residual value of $ 25 million
Calculate which alternative is more efficient?

A 30 year corporate bond with a face amount of $1,000 and a 5.6% coupon (paid semi-annually) was issued 15 years ago. Given a 30 BPS, what is its effective duration? Assume the current yield to maturity is 6.0%. Show all work.

2.

You have a 20-year annuity with a present value of $575,000. If the APR is 6%, what is
the monthly yield?

Select one:

a. None of these

b. $3761.26

c. $4439.18

d. $4119.48

e. $4325.67

In May of the current year, your employer received a PIER report from the CRA that identified Canada Pension Plan (CPP) contribution deficiencies for employees in the organization who:

turned 18 during the year

turned 70 during the year

had chosen to opt out of paying CPP by submitting a completed CPT30 form

To avoid a recurrence, the Payroll Manager, Melissa Chan, has asked you to prepare a summary of the CPP reporting requirements on T4 information slips. The summary will be used to validate the current payroll setup to ensure that the T4s will be completed properly in future. Provide information on the CPP related boxes that must be completed, including how any amounts are calculated, for employees who:

are under 18 for the entire year

turn 18 during the year

are over 70 for the entire year

turn 70 during the year

submit a completed CPT30 form during the year, electing to stop contributing to the Canada Pension Plan

submit a completed CPT30 form during the year, revoking their previous election to stop contributing to the Canada Pension Plan

The Income Statement of Adom Enterprise for the year ended 31st March, 2020 as prepared by an AccountsAssistantindicatedanetprofitofGHS148,080.Though,thecashbookon31st March,2020 showed a balance at bank to be GHS 13,460. Your attention is however drawn to the following:

1. i) Cheques from customers totalling GHS 14,940 which were recorded in the cash book on

   March 25, 2020 were not credited by the bank until April 2, 2020.

2. ii) Cheques issued on March 13, 2020 totalling GHS 22,260 in favour of suppliers were not paid

   by the bank until after the end of the year (that is after March 31, 2020)

3. iii) On 22 February 2020, the bank paid an amount of GHS 10,800 with respect to a standing order from Adom Enterprise for rent of business premises for the three months to April 30, 2020 but

   unfortunately, no entry for this payment had been made in the cash book.
   Additionally, no provision of this outstanding rent had been made in the income statement for the period.

4. iv) On March 31, a customer known as Mr. Kwarteng had paid GHS 7,020 into Adom
   Enterprise bank account through a standing order to his bankers in full settlement of a debit balance of GHS 7,200 in Adom Enterprise sale ledger, but no entry had been made in the books.

5. v) On 30th March 2020, a cheque for GHS 1,440 was received from a customer in settlement of sales invoice for the same amount. The cheques were lodged into Adom Enterprise bank account. Both sale of goods and the cheque were entered in Adom Enterprise’s books. However, on 31st March 2020, the customer returned the goods and instructed her

   bankers not to pay the cheque (This instruction was carried out the same day) but no entries in respect of these latter developments have been made in Adom Enterprise’s books. The cost of these goods amounting to GHS 960 were not actually included in the closing inventories.

6. vi) Cheques received from two customers: Madam Adwoa Nyarkoa GHS 2,150 and Papa Kwame Ayisi of GHS 1,520 were recorded at the wrong side of the cash book.

7. vii) A cheque for GHS 2,520 from an insurance company in settlement of claim for fire damage to inventory had been paid into the bank and credited by the bank on 21st March 2020, but an estimated amount of GHS 2,400 had been entered in Adom Enterprise’s income statement.

8. viii) During a review of the financial records, it was discovered that the receipts side of the cash book was overstated by GHS 1,480. This has not been corrected.

Required:

a) Prepare a statement on March 31, 2020, clearly indicating the cash book balance.

b) Prepare the bank reconciliation statement for Adom Enterprise
c) Prepare a statement of corrected net profit of Adom Enterprise on 31st March, 2020

d) Explain TWO reasons for carrying out bank reconciliation.

e) Identify and explain any FIVE causes of discrepancies in the cash book balance and the bank

statement balance in this question

A 15-year-old white female with a history of asthma since early childhood.

He diagnosis with asthma and Contraception initiation

Question

1. Diagnosis asthma

a. Explain the Pathophysiology of asthma

b. What is the therapeutic regimen of asthma?

c. What labs can you order for this patient?give the definition and Description of the Test. At least 2 labs

d. Significance of the Test Being Ordered for this Patient

E. What medication would give to this patient et why?

2. Diagnosis: Contraception initiation

a. Explain the Pathophysiology of Contraception initiation

b. What is the therapeutic regimen of Contraception initiation?

c. What labs can you order for this patient?give the definition and Description of the Test. At least 2 labs

d. Significance of the Test Being Ordered for this Patient

E. What medication would give to this patient et why?

The patient in this case is a 57 year old female that has experienced joint pain for ~ 5 years. Her joints are becoming progressively deformed with swelling. Her physician decides to order a synovial fluid analysis, including a cell count, differential, RF, protein, glucose, LDH, and crystal analysis if indicated. He also orders blood work: Rheumatoid Factor and glucose level. Her results are as follows:

Questions:

1. What do these results suggest that the patient has? Explain your answer, providing evidence to support your answer.

2. If the patient had gout., what would her results be instead?

bob buys a property for $140,000. He is offered a 25-year loan by the bank, at an interest rate of 6.88% per year. What is the annual loan payment Dan must make?   ________.

A businessman wants to buy a truck. The dealer offers to sell the truck for either $145,000 now, or 7 yearly payments of $24,000. What interest rate would make these two options financially equivalent?

Miller's Hardware plans on saving $100, $150, and $400 at the end of each year for the next three years, respectively. How much will the firm save at the end of the 7th year if it can earn 2% on its savings? (2% is annual interest rate and assume annual compounding) [Please round your answer to the nearest whole number]