AFN equation

Broussard Skateboard's sales are expected to increase by 15% from $8.2 million in 2016 to $9.43 million in 2017. Its assets totaled $5 million at the end of 2016. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2016, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 5%, and the forecasted payout ratio is 60%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Round your answer to the nearest dollar. Do not round intermediate calculations.

1. Discuss Modigliani and Miller's Propositions I in a world with corporate tax but no other market frictions nor distress costs. List the basic assumptions, results, and intuition of the model.

Based on this model, if the original unlevered firm value is $100 million, the corporate tax rate is 20%, and the CFO is planning to carry out a leveraged recapitalization to add a permanent debt of $30 million. The interest rate for the debt is 6% for the coming year. The unlevered equity requires 10% annual return. What’s the levered firm value? What’s the value of levered equity?

Book: Operations and Supply Chain Management Jacobs & Chase 14e

A manager is trying to decide whether to buy one machine or two. If only one is purchased and demand proves to be excessive, the second machine -can be pur­chased later. Some sales will be lost, however, because the lead time for producing this type of machine is 6 months. In addition, the cost per machine will be lower if both are purchased at the same time. The probability of low demand is estimated to be 0.20. The after-tax net present value of the benefits from purchasing the two machines together is $90,000 if demand is low and $180,000 if demand is high.

If one machine is purchased and demand is low, the net present value is $120,000. If demand is high, the man­ager has three options. Doing nothing has a net present value of $120,000; subcontracting, $160,000; and buying the second machine, $140,000.

1. Draw a decision tree for this problem.
2. How many machines should the company buy
   initially? What is the expected payoff for this
   alternative?

Suppose that you and two other students are working on a team research project for a course you are all taking. To complete the project, you expect that the three of you will need to work together on reviewing related literature for about two days. Then, you will divide the work into three parts: collecting financial data (5 days), writing the text of the paper (5 days), and preparing the figures and tables (2 days). Then the team will work together in assembling and editing the paper (5 days).

a. Assuming that none of the work can be done in parallel (i.e., collecting data must precede writing, which must precede preparing figures and tables), how many days will it take to complete your research project?

number of days ?

b. Ideally, the work would be best accomplished serially (as in question “a” above) so that all information created in one task is available for the processing of the next task. However, assuming for the moment that collecting data, writing text, and preparing figures and tables can be done in parallel (i.e., each task can be done by a different team member independently and simultaneously), how many days will it take to complete your research project?

number of days?

Aaron Beck noted at least ten ways that our thoughts can lead to additional stress. One of these is the concept of ‘All or nothing’ thinking, in which we look at things in absolute, black and white categories.

Can you think of an example of how this type of thinking can create stress, as well as how we can change these thoughts to reduce stress?

the company is Southwest airlines

identify strategic alternatives that create value for the company. which ones are focused on internal growth and what do they offer to the company? what are the drawbacks of these strategies? which ones are focused on external growth and what do they offer the company? what are the drawbacks of these strategies?
how would you use a decision matrix to identify the leading alternative? explain how you determined the values used to distinguish between each option. what about the matrix, if anything, may be limiting in its use value to an analyst or decision maker?

The diameters of the main rotor and tail rotor of a single-engine helicopter are 7.67 m and 0.99 m, respectively. The respective rotational speeds are 449 rev/min and 4,149rev/min. Calculate the speeds of the tips of both rotors.

Compare these speeds with the speed of sound, 343 m/s.

1 What is the role of socialization in women’s and men’s “choice” of occupations and how do these relationships affect sex segregation and the wage gap?

1. How to calculate the free cash flow of the firm (also referred to as the firm’s free cash flow) directly? How to calculate the firm’s free cash flow from earnings in a levered firm? What is the appropriate discount rate for the firm’s free cash flow if the firm plans to have a constant debt-to-equity ratio forever? What do you get when you calculate the present value of the free cash flow of the firm in this case? What is the appropriate discount rate for the firm’s free cash flow if the firm plans to have debt only for 5 years and the interest payment varies over years? What do you get when you calculate the present value of the free cash flow of the firm using this discount rate?

Describe how to estimate the free cash flow to equity in a levered firm starting from the firm’s free cash flow as we discussed in class. What is the right discount rate for the free cash flow to equity? What do you get when you calculate the present value of the free cash flow to equity? What’s the difference between the free cash flow of the firm and the free cash flow to equity?

A standard deck of cards contains 52 cards. One card is selected from the deck. (a) Compute the probability of randomly selecting a jack or ace. ​(b) Compute the probability of randomly selecting a jack or ace or nine. ​(c) Compute the probability of randomly selecting a king or diamond.

Write a C program without using if-else construct that does the following. It accepts a sequence of positive integers between 1 and 9 both inclusive from the keyboard. The program will stop accepting input once an integer outside the range is entered. The program will finish by printing the total number multiples of 3 and total number of even integers entered. Test data and expected output: Enter integers between 1 & 9 both inclusive, outside range to stop Enter integer :0 Total no of even integer entered is 0 Total no of multiples of 3 entered is 0 Enter integers between 1 & 9 both inclusive, outside range to stop Enter integer :2 Enter integer :4 Enter integer :6 Enter integer :9 Enter integer :3 Enter integer :1 Enter integer :2 Enter integer :0 Total no of even integer entered is 4 Total no of multiples of 3 entered is 3

Explain why the reliability of a system is not static but dynamic.?

Respond to the following in a minimum of 175 words:  

• Discuss the differences between an internal analysis and an external analysis with respect to strategic planning.
• What do organizations typically analyze as part of an internal analysis, and why?
• What do organizations typically analyze as part of an external analysis, and why?
• How do the results of each of these analyses inform an organization’s strategic plan?

Please indicate your evaluation of the candidate for the following questions, and briefly explain your reason for each evaluation:

Able to meet deadlines? YES NO Reason: Able to work under pressure? YES NO Reason: Friendly? YES NO Reason: Reliable? YES NO Reason: Easy-going? YES NO Reason: Able to use technology? YES NO Reason: Professional appearance? YES NO Reason: 2. Would you re-employ this person in your organization in the future? (If no, please provide details on a separate sheet.) YES NO 3. Do you have any doubts about this person’s suitability on the job? (If yes, please provide details on a separate sheet.) YES NO 4. Please confirm your contact information and relationship to the candidate:

Your name: Your company: Your job title:

How do you know the candidate? ___________________________________

1. What suggestions do you have to improve the reference request form? Specifically, are there any items or wording you would change, remove, and/or add to the form? Please explain.