Carlisle State College had the following account balances for the year ended and as of June 30, 2018. Debits are not distinguished from credits, so assume all accounts have a “normal” balance.
| Additions to permanent endowments | 400,000 |
| Auxiliary enterprise revenue | 4,200,000 |
| Capital grants and gifts | 300,000 |
| Depreciation expense | 1,400,000 |
| Employee Benefits | 1,975,000 |
| Federal grants and contracts revenue | 2,000,000 |
| Gifts | 700,000 |
| Interest on capital-related debt | 450,000 |
| Investment income | 220,000 |
| Net position, beginning of year | 11,450,000 |
| Nonexempt wages | 1,500,000 |
| Other operating expenses | 900,000 |
| Salaries-exempt staff | 2,300,000 |
| Salaries-faculty | 6,500,000 |
| Scholarship tuition and fee contra revenue | 300,000 |
| Scholarships and fellowships expense | 315,000 |
| State and local grants and contracts revenue | 900,000 |
| State appropriation for operations | 4,970,000 |
| State appropriations for capital additions | 250,000 |
| Student tuition and fee revenue | 8,450,000 |
Required
Prepare, in good form, a Statement of Revenues, Expenses, and Changes in Net Position for Carlisle State College for the year ended June 30, 2017.
PLEASE DO IN EXCELL AND START WITH OPERATING REVENUES.
In: Accounting
Suppose you want to find the nonoperating cash flow in the last year of the project. This includes the effects associated with the salvage value,cleanup and removal expenses, and working capital. The variables and values are: cash received on sale of old equipment (S) = $20,000; tax rate (T) = 0.4; book value of old equipment (B) = 5,000; before-tax cleanup and removal expenses (REX) = $15,000; and, release of net working (W) = $5,000.
What is the nonoperating cash flow in the last year of the project?
Group of answer choices
$11,000
$12,000
$10,000
$13,000
In: Finance
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The owner of a bicycle repair shop forecasts revenues of $236,000 a year. Variable costs will be $69,000, and rental costs for the shop are $49,000 a year. Depreciation on the repair tools will be $29,000. The tax rate is 40%. |
| a. |
Calculate operating cash flow for the year by using all three methods: (a) adjusted accounting profits; (b) cash inflow/cash outflow analysis; and (c) the depreciation tax shield approach. |
| Method | Operating Cash Flow |
| Adjusted accounting profits | $ |
| Cash inflow/cash outflow analysis | |
| Depreciation tax shield approach | |
| b. | Are the above answers equal? |
|
In: Finance
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Pearl Corp. is expected to have an EBIT of $1,900,000 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $160,000, $80,000, and $120,000, respectively. All are expected to grow at 15 percent per year for four years. The company currently has $10,000,000 in debt and 800,000 shares outstanding. At Year 5, you believe that the company's sales will be $13,620,000 and the appropriate price-sales ratio is 2.1. The company’s WACC is 8.4 percent and the tax rate is 21 percent. |
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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
Due to a recession, expected inflation this year is only 3.25%. However, the inflation rate in Year 2 and thereafter is expected to be constant at some level above 3.25%. Assume that the expectations theory holds and the real risk-free rate (r*) is 2.5%. If the yield on 3-year Treasury bonds equals the 1-year yield plus 0.5%, what inflation rate is expected after Year 1? Round your answer to two decimal places.
I keep getting the wrong answer! Not sure of what I am doing wrong
In: Finance
|
The owner of a bicycle repair shop forecasts revenues of $236,000 a year. Variable costs will be $69,000, and rental costs for the shop are $49,000 a year. Depreciation on the repair tools will be $29,000. The tax rate is 40%. |
| a. |
Calculate operating cash flow for the year by using all three methods: (a) adjusted accounting profits; (b) cash inflow/cash outflow analysis; and (c) the depreciation tax shield approach. |
| Method | Operating Cash Flow |
| Adjusted accounting profits | $ |
| Cash inflow/cash outflow analysis | |
| Depreciation tax shield approach | |
| b. | Are the above answers equal? |
|
In: Finance
Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies suggest that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company’s present selling price is $90 per unit, and variable expenses are $60 per unit. Fixed expenses are $831,600 per year. The present annual sales volume (at the $90 selling price) is 25,600 units.
Required:
1. What is the present yearly net operating income or loss?
2. What is the present break-even point in unit sales and in dollar sales?
3. Assuming that the marketing studies are correct, what is the maximum annual profit that the company can earn? At how many units and at what selling price per unit would the company generate this profit?
4. What would be the break-even point in unit sales and in dollar sales using the selling price you determined in (3) above (e.g., the selling price at the level of maximum profits)?
In: Accounting
Consider a 30-year mortgage for $347,060 at an annual interest rate of 4.7%. What is the remaining balance after 5 years?
In: Finance
The manager of Dukey’s Shoe Station estimates operating costs for the year will include $405,000 in fixed costs. Required: a. Find the break-even point in sales dollars with a contribution margin ratio of 50 percent. b. Find the break-even point in sales dollars with a contribution margin ratio of 30 percent. c. Find the sales dollars required to generate a profit of $250,000 for the year assuming a contribution margin ratio of 50 percent.
In: Accounting
In: Finance