Year Unit Sales
1 109,000
2 125,000
3 136,000
4 158,000
5 97,000
Production of the implants will require $812,000 in net working capital to start and additional net working capital investments each year equal to 20% of the projected sales increase for the following year. (Because sales are expected to fall in Year 5, there is no NWC cash flow occurring for Year 4.) Total fixed costs are $194,000 per year, variable production costs are $290 per unit, and the units are priced at $400 each. The equipment needed to begin production has an installed cost of $21.5 million. Because the implants are intended for professional singers, this equipment is considered industrial machinery and thus falls into Class 8 for tax purposes (20%). In five years, this equipment can be sold for about 25% of its acquisition cost. AIY is in the 40% marginal tax bracket and has a required return on all its projects of 25%.
Based on these preliminary project estimates, what is the NPV of the project? What is the IRR?
In: Accounting
1.
Why do some countries lag others economically? (Explain 4 factors)
2.
Discuss the constraints of growth in Europe vs. the United States.
(Explain in terms of productivity/technology/labor)
(Baumol/Blinder textbook has lots of information on this topic)
In: Economics
What are the 1. Use 2. Side effects 3. Adverse reactions and contraindications 4. nursing intervention/responsibilities before, during and after administration.
of these Drugs
Digoxin
Furosemide
Naloxone
Nifedipine
Propranolol/ atenolol
Celecoxib
Insulin
Alendronate
Iron
Warfarin
Nitroglycerin
Nitroglycerin
Nitrofurantoin
Rifampicin
Lactulose
Allopurinol
Theophylline
Methimazole
Levothyroxine
Spironolactone
Albuterol
corticosteroids
In: Nursing
Describe the key features of stocks: 1) common stock 2) Preferred stock 3) Classified stock 4) Tracking stock. Describe, compare, and contrast the following FCF valuation models: (1) constant-growth (2) Non-constant growth Distinguish between dividend valuation and FCF model. What is the appeal of FCF model?
In: Finance
1. Other factors equal, changing the estimated population deviation rate from 2% to 4% would cause the required sample size to?
a. become indeterminate
b. increase
c. remain the same
d. decrease
2. Attributes sampling would be an appropriate method to use on which one of the following procedures in an audit program?
a. Review sales transactions for large and unreasonable amounts.
b. Observe whether the duties of the accounts receivable clerk are separate from handling cash.
c. Examine a sample of duplicate sales invoices for credit approval by the credit manager.
d. Review the aged schedule of accounts receivable to determine if receivables from officers are included
3. Proper separation of duties is useful to prevent various types of misstatements. Which of the following is not an essential?
a. personnel doing internal comparisons should be independent of those entering the original data.
b. separate the credit-granting function from the sales function
c. person having access to cash should not have access to checks from customers
d. anyone responsible for inputting sales and cash receipts transactions information into the computer should be denied access to cash
4. Which is consistent with billing customers before year-end for goods shipped near year-end?
a. AR/CR is high
b. REV/COS is high
c. REV/AR is high
d. none of the above
In: Finance
Given are five observations for two variables,
| xi | yi |
| 1 | 3 |
| 2 | 8 |
| 3 | 5 |
| 4 | 11 |
| 5 | 14 |
Round your answers to two decimal places.
a. Estimate the standard deviation of ŷ* when x = 4. 2
b. Develop a 95% confidence interval for the expected value of y when x = 4.
c. Estimate the standard deviation of an individual value of y when x = 4.
d. Develop a 95% prediction interval for y when x = 4. If your answer is negative, enter minus (-) sign.
In: Statistics and Probability
WEEK 4 LEADERSHIP
1.Outline an appropriate health teaching plan for the ADOLESCENT
WEEK 6
2.Outline an appropriate health teaching plan for the child with visual impairment.
In: Nursing
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | ||||
| Units Sales | 75,000 | 95,000 | 125,000 | 130,000 | 140,000 | |||
| Equipment Cost | 61,000,000 | |||||||
| Salvage value | ||||||||
| Units Price | 650 | |||||||
| Variable cost (per unit) | 300 | |||||||
| Fixed costs (per year) | 4,300,000 | |||||||
| Tax rate | 35% | |||||||
| NWC (% of sales) | 15% | |||||||
| Required return | 12% | |||||||
| Required Payback Period (years) | 3 | |||||||
| MACRS Schedule | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 |
| 3-year | 33.33% | 44.45% | 14.81% | 7.41% | ||||
| 5- year | 20.00% | 32.00% | 19.20% | 11.52% | 11.52% | 5.76% | ||
| 7-year | 14.29% | 24.49% | 17.49% | 12.49% | 8.93% | 8.92% | 8.93% | 4.46% |
Shelley believes that the unit sales, variable costs and
equipment cost projections are accurate to ±20%.
Questions:
Please show working.
| Pro Forma Income Statements | |||||||
| Year | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | ||
| Revenues | |||||||
| Variable costs | |||||||
| Fixed costs | |||||||
| Depreciation | |||||||
| EBIT | |||||||
| Taxes (35%) | |||||||
| Net income | |||||||
| OCF | |||||||
| Net Working Capital | |||||||
| Year | Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
| Initial NWC | |||||||
| Ending NWC | |||||||
| NWC cash flow | |||||||
| Salvage Value | |||||||
| Market value of salvage | |||||||
| Book value of salvage | |||||||
| Taxes on sale: | |||||||
| Aftertax salvage value: | |||||||
| Project Cash Flows | |||||||
| Year | Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
| OCF | |||||||
| Change in NWC | |||||||
| Capital spending | |||||||
| Total cash flow | |||||||
| Cumulative cash flow | |||||||
| Question 1 | Value | Decision | |||||
| Payback Period | |||||||
| Question 2 | |||||||
| NPV | |||||||
| Question 3 | |||||||
| IRR | |||||||
| Question 4 | |||||||
| Profitability Index | |||||||
| Question 5 | |||||||
| Target Sales Price | |||||||
In: Finance
give the effects of those infection diseases
1-Hepatitis A
2-Sepsis
3-Hiv/aids
4-Rabies
In: Biology
7. Quarterly billing for water usage is shown below.
Year Quarter 1 2 3 4
Winter 64 66 68 73
Spring 103 103 104 120
Summer 152 160 162 176
Fall 73 72 78 88
The forecast equation is: Ft = 64.875 – 6.1375 Qtr1t + 32.325 Qtr2t + 86.0375 Qtr3t + 1.2875 (t). Forecast the summer of year 5 and spring of year 6.
In: Statistics and Probability