You and your team are financial consultants who have been hired by a large, publicly traded electronics firm, Brilliant Electronics (BI), a leader in its industry. The company is looking into manufacturing its new product, a machine using sophisticated state of the art technology developed by BI’s R&D team, overseas. This overseas project will last five years. They’ve asked you to evaluate this project and to make a recommendation about whether or not the company should pursue it. BI’s management team needs your recommendation and the analysis used to arrive at it by no later than December 4, 2019.

The following market data on BI’s securities are current:

Debt: 210,000 6.4 percent coupon bonds outstanding, 25 years to maturity, selling or 108 percent of par; the bonds have $1000 par value each and make semi-annual payments

Common Stock: 8,300,000 shares outstanding, selling for $68 per share; beta=1.1

Preferred Stock: 450,000 shares of 4.5% preferred stock outstanding, selling or $81 per share

Market: 7 percent expected market risk premium; 3.5 percent risk-free rate

The company bought some land three years ago for $3.9 million in anticipation of using it as a toxic dump site for waste chemicals, but it built a piping system to safely discard the chemicals instead. The land was appraised last week for $4.4 million on an after-tax basis.   In five years, the after-tax value of the land will be $4.8 million, but the company expects to keep the land for a future project. The company wants to build its new manufacturing plant on this land; the plant will cost $37 million to build.

At the end of the project (the end of year 5), the plant can be scrapped for $5.1 million. The manufacturing plant will be depreciated using the straight line method.

The company will incur $6,700,000 in annual fixed costs excluding depreciation. The plan is to manufacture 15,300 machines per year and sell them at $11,450 per machine; the variable production costs are $9,500 per machine. Selling price and costs are expected to remain unchanged over the life of the project.

BI uses PK Global (PKG) as its lead underwriter. PKG charges BI spreads of 8% on new common stock issues, 6% on new preferred stock issues, and 4% on new debt issues. PKG has included all direct and indirect issuance costs (along with its profit) in setting these spreads. BI’s tax rate is 35 percent. The project requires $1,300,000 in initial net working capital investment to get operational. Assume BI raises all equity for new projects externally (that is, BI does not use retained earnings).

The weighted average flotation cost is the sum of the weight of each source of funds in the capital structure of the company times the flotation costs, so:

f_T = ($564.4/$827.65)(0.08) + ($36.45/$827.65)(0.06) + ($226.8/$827.65)(0.04) = 0.0682, or 6.82%

Thus the initial investment is increased by the amount of flotation costs:

                    (Amount raised)(1 – 0.0682) = $37,000,000   

                    Amount raised = $37,000,000/(1 – 0.0682) = $39,708,092

Your analysis should include, and your recommendation should be based on, the following:

1. Calculate the firm’s current cost of capital using the information provided.

2. Calculate the project’s cost of capital (the appropriate discount rate to use to evaluate BI’s new project) assuming the capital structure will remain the same if the project is undertaken.

This project is somewhat riskier than a typical project for BI; therefore, management has asked you to use an adjustment factor of 12% to account for this increased riskiness (that is, to add 12% to the firm’s cost of capital) to estimate the project’s required rate of return.

(NOTE: Flotation costs do not have to be considered when calculating the required rate of return for each class of security – they are addressed in this problem by adjusting the cost of the initial investment to $39,708,092 from $37,000,000).

3. Calculate the project’s annual cash flows, taking into account all the relevant cash flows.
   1. Calculate the project’s initial Time 0 cash flow, taking into account all relevant cash flows.
   2. Calculate the project’s annual operational cash flows (OCF) over the life of the project.
   3. Calculate the project’s terminal (last year of the project) cash flow.   Include all relevant cash flows.

                (Note: You can present the cash flows from Year 0 to Year 5 in a table format)

4. What is the NPV and IRR of the project?

1. How would you describe the current situation facing U. S. Stroller?
2. What are the pro's and con's of the options presented in the case?
3. What will be the impact of these options on the MRP system currently in use?
4. What option do you recommend and why?

• Recall a bad service experience you recently had. What led to the service failure? Consider such dimensions as tangibles, reliability, responsiveness, assurance, or empathy.

• What measures can be taken to provide more capacity at a bottleneck work center?

Evaluate the Ethical Organization and Performance of the Uber company/business. Please be detailed in your response. (This question is based on the unethical organization Uber). Make sure you are answering/addressing the following points in this answer regarding Ubers Ethical Decision Making and Ethical Influence

- Where did the ethical decision making break down?

- Where did ethical influence take place?

Instructions:

For this assignment, you will create a cash flow statement for Happy Healing Hospital for 2016.

The information for 2016 has been collected from various sources within the healthcare organization and is listed in the info below.  It is not nice and neat. The entries are not lined up very well and may be a little out of order for your report but the information that you need to create this statement is all listed. It is up to you to create the statement and make it presentable.

You will find the information for 2015 has already been entered in the spreadsheet as an example to go by.

To complete this assignment, please do the following:

• add a column next to 2015 and label it 2016 for side-by- side comparison.
• enter the information below in the appropriate cell.
• create formulas to total each section as was done for 2015.

• Happy Healing Hospital - Cash Flow Statement
  		Reported Values
  Operating Activities		2015	2016
  	Cash received from patients and third party payors	$19,915,566
  	Cash paid to employees for salaries and benefits	($11,081,726)
  	Cash paid to vendors for goods and services	($7,166,776)
  	Other operating receipts, net	$671,212
  	Net cash from operating activities	$2,338,276
  Capital and related financing activities
  	Acquisition and construction of capital assets	($477,992)
  	Proceeds from sale of capital assets	$3,980
  	Interest paid on long-term debt	($42,184)
  	Payments on line of credit	-
  	Proceeds on long-term debt	-
  	Principal payments on long-term debt	($391,003)
  	Net cash from capital and related financing activities	($907,199)
  Investing activities
  	Investment and other nonoperating income	$108,045
  	Net cash from investing activities	$108,045
  	Net change in cash and cash equivalents	$1,728,113
  	Cash and cash equivalents, beginning of year	$2,379,906
  	Cash and cash equivalents, end of year	$4,324,109
  Reconciliation of cash and cash equivalents to the balance sheets
  	Cash and cash equivalents
  	In current assets	$5,166,428
  	In noncurrent cash and investments	$809,491
  	Total cash and cash equivalents	$5,975,919
  Reconciliation of operating loss to net cash from operating activities
  	Operating income	$861,828
  	Adjustments to reconcile operating income to net cash from operating activities:
  	Depreciation and amortization	$1,883,051
  	(Gain) loss on disposal of capital assets	($525)
  	Provision for bad debt	$1,281,107
  	Changes in assets and liabilities
  	Patient accounts receivable	($2,044,870)
  	Estimated third-party settlements	$1,199,971
  	Supplies and other current assets	$90,264
  	Other assets	($7,698)
  	Accounts payable and accrued expenses	$2,077,036
  	Other current liabilities	$57,535
  	Accrued salaries and related liabilities	($2,405,197)
  	Other long-term liabilities	($25,000)
  Net cash flows from operating activities		$2,967,502

Charlotte's Crochet Shoppe has 14,000 shares of common stock outstanding at a price per share of $74 and a rate of return of 11.57 percent. The company also has 270 bonds outstanding, with a par value of $2,000 per bond. The pretax cost of debt is 6.11 percent and the bonds sell for 96.9 percent of par. What is the firm's WACC if the tax rate is 39 percent?

A $1,000 par value bond has coupon rate of 5% and the coupon is paid semi-annually. The bond matures in 20 years and has a required rate of return of 10%. Compute the current price of this bond?

Problem 7-11
Balance Sheet Analysis

Complete the balance sheet and sales information in the table that follows for J. White Industries using the following financial data:

Total assets turnover: 1.3
Gross profit margin on sales: (Sales - Cost of goods sold)/Sales = 20%
Total liabilities-to-assets ratio: 45%
Quick ratio: 1.05
Days sales outstanding (based on 365-day year): 39.5 days
Inventory turnover ratio: 7.0

Round your answers to the nearest whole dollar.

Balance Sheet

Answer all the blanks ____ and plz show steps

“The aim of industrial psychology is primarily not to obtain greater production or output but to give the worker greater ease at his work”. - Justify this statement.

i want to know about the financial summary/stock purchase recommendation of the texas instrument inc.

Assume that stock market returns have the market index as a common factor, and that all stocks in the economy have a beta of 1.2 on the market index. Firm-specific returns all have a standard deviation of 25%.

Suppose that an analyst studies 20 stocks and finds that one-half of them have an alpha of +1.6%, and the other half have an alpha of −1.6%. Suppose the analyst invests $1.0 million in an equally weighted portfolio of the positive alpha stocks, and shorts $1 million of an equally weighted portfolio of the negative alpha stocks.

a. What is the expected profit (in dollars) and standard deviation of the analyst’s profit? (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.)

b. How does your answer change if the analyst examines 50 stocks instead of 20 stocks? 100 stocks? (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.)

President Trump began his Presidency in January 2017. He had to make many new administrative appointments. Searching the internet review media reports of his major appointments, focusing on the particular characteristics and backgrounds of the appointees. What qualities was the president looking for?include media reports from diverse sources. Meaning, not all Fox News, not all MSNBC/CNN, not all The Drudge Report, etc.

1. Based on what you heard in this podcast, do you think you are "frying your brain" with your cell phone? Why or why not?

• What is the difference between a requirements philosophy and a replenishment philosophy of inventory management? Why is this difference important?

• Compare and contrast the management of finished goods inventory in a manufacturing firm with that in a retail or wholesale firm.