Questions
What is the present value of $907 per year for 9 years if the required return...

What is the present value of $907 per year for 9 years if the required return is 6 percent.

In: Accounting

A company is considering a new 6-year project that will have annual sales of $255,000 and...

A company is considering a new 6-year project that will have annual sales of $255,000 and costs of $160,000. The project will require fixed assets of $279,000, which will be depreciated on a 5-year MACRS schedule. The annual depreciation percentages are 20.00 percent, 32.00 percent, 19.20 percent, 11.52 percent, 11.52 percent, and 5.76 percent, respectively. The company has a tax rate of 35 percent. What is the operating cash flow for Year 2?

In: Finance

a. A 10-year 5% coupon bond has a yield of 8% and a duration of 7.85...

a. A 10-year 5% coupon bond has a yield of 8% and a duration of 7.85 years. If the bond yield increases by 60 basis points, what is the percentage change in the bond price?

b. Alpha Insurance Company is obligated to make payments of $2 million, $3 million, and $4 million at the end of the next three years, respectively. The market interest rate is 8% per annum.

i. Determine the duration of the company’s payment obligations.

ii. Suppose the company’s payment obligations are fully funded and immunized using both 6-month zero coupon bonds and perpetuities. Determine how much of each of these bonds the company will hold in the portfolio.

In: Finance

Compute the interest paid on a 2-year lease for a $27,805 car if the annual rate...

Compute the interest paid on a 2-year lease for a $27,805 car if the annual rate of depreciation is 13% and the lease's annual interest rate is 4.9%. Round your answer to the nearest dollar.

In: Finance

Consider a project with a 4-year life. The initial cost to set up the project is...

Consider a project with a 4-year life. The initial cost to set up the project is $100,000. This amount is to be linearly depreciated to zero over the life of the project and there is no salvage value. The required return is 13% and the tax rate is 34%.

You've collected the following estimates:

Base case Pessimistic Optimistic
Unit sales per year (Q) 7,000 5,000 9,000
Price per unit (P) 50 40 60
Variable cost per unit (VC) 20 35 15
Fixed costs per year (FC) 30,000 50,000 20,000

   Attempt 2/5 for 10 pts.

Part 1

What is the annual free cash flow in the base case?

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   Attempt 1/5 for 10 pts.

Part 2

What is the NPV in the base case?

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   Attempt 1/5 for 10 pts.

Part 3

What is the NPV in the pessimistic case?

Submit

   Attempt 1/5 for 10 pts.

Part 4

What is the NPV in the optimistic case?

In: Finance

9717  shares of common stock outstanding at the beginning of the year. Net income was $384,717 ....

9717  shares of common stock outstanding at the beginning of the year. Net income was $384,717 . No dividends were paid this year nor last year. On july, the company purchased 2,000 shares of its common stock and held it in treasury. There was a 2 for 1 stock split that occurred on common stock on Dec. 1. The tax rate is 30%. A $1,500,000, 5% nonconvertible bond was issued June 30 of the current year at par value. The company has 2,000 shares outstanding of $100 par value 5% convertible Preferred stock (cumulative and non-participating). The stock was issued at $125 a share on April 1 this year and has current market price of $145 at year-end. One share of preferred stock can convert into 2 shares of common stock, none were converted.

1 Calculate Basic EPS.

2, Calculate fully diluted EPS Is Fully Dilutes EPS a required?

In: Accounting

Write a java program MyCalendar that outputs a monthly calendar for a given month and year....

Write a java program MyCalendar that outputs a monthly calendar for a given month and year.
the output should be looks like this one at the bottom:( I don't know why it doesn't show right but the first day of the month is not Sunday it starts from Wednesday)

F. Last’s My Calendar
Enter month year? 10 2019
10/2019
Sun Mon Tue Wed Thu Fri Sat
---------------------------------
1 2 3 4
5 6 7 8 9 10  11
12 13 14 15 16 17 18
19 20 21   22 23 24 25
26 27 28 29 30 31

In: Computer Science

Pearl Corp. is expected to have an EBIT of $2,200,000 next year. Depreciation, the increase in...

Pearl Corp. is expected to have an EBIT of $2,200,000 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $160,000, $95,000, and $135,000, respectively. All are expected to grow at 18 percent per year for four years. The company currently has $11,500,000 in debt and 950,000 shares outstanding. After Year 5, the adjusted cash flow from assets is expected to grow at 2.5 percent indefinitely. The company’s WACC is 8.7 percent and the tax rate is 24 percent.

What is the price per share of the company's stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

In: Finance

ABCDEF Corp. currently pays $3.80 in dividend as of this year. ABCDEF’s dividends will grow by...

ABCDEF Corp. currently pays $3.80 in dividend as of this year. ABCDEF’s dividends will grow by 4.1% each year for next 15 years, and then grow by 3.8% each year afterward. What’ the present value of the firm’ tock given this information assuming that the required rate of return for the firm’ industry is 10.1%?

In: Finance

Compute the monthly payments on a 3-year lease for a $26,775 car if the annual rate...

Compute the monthly payments on a 3-year lease for a $26,775 car if the annual rate of depreciation is 12% and the lease's annual interest rate is 4.7%.

In: Finance