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Question;Question 1 0;out of 1 points;Income Statement You have been given the following information;for Fina's Furniture Corp.: net sales = $25,500,000;cost of goods sold = $10,250,000, addition to retained;earnings = $305,000;dividends paid to preferred and common stockholders =;$500,000, interest expense = $2,000,000.;The firm's tax rate is 30 percent. What is the depreciation;expense for Fina's Furniture Corp?;Response;Feedback;Question 2;1 out of 1 points;These are cash inflows and outflows associated with buying;and selling of fixed or other long-term assets.;Response Feedback;correct;Question 3;0 out of 1 points;Statement of Cash Flows Caf? Creations Inc. has net cash;flow from financing activities for the last year of $25 million. The company;paid $15 million in dividends last year. During the year, the change in notes;payable on the balance sheet was a decrease of $40 million, and change in;common and preferred stock was an increase of $50 million. The end of year;balance for long-term debt was $40 million. What was their beginning of year;balance for long-term debt?;Response;Feedback;Question 4;1 out of 1 points;Statement of Retained Earnings Bike and Hike, Inc. started;the year with a balance of retained earnings of $ 100 million and ended the;year with retained earnings of $128 million. The company paid dividends of $ 9;million to the preferred stock holders and $22 million to common stock holders.;What was Bike and Hike's net income for the year?;Response;Feedback;Question 5;1 out of 1 points;Statement of Retained Earnings TriCycle, Corp. began the;year 2008 with $25 million in retained earnings. The firm earned net income of;$7 million in 2008 and paid $1 million to its preferred stockholders and $3;million to its common stockholders. What is the year-end 2008 balance in;retained earnings for TriCycle?;Question 6;1 out of 1 points;Statement of Retained Earnings Jamaican Ice Cream Corp.;started the year with a balance of retained earnings of $100 million. The;company reported net income for the year of $45 million, paid dividends of $2;million to the preferred stock holders and $15 million to common stock holders.;What is Jamaican Ice Cream's end of year balance in retained earnings?;Question 7;0 out of 1 points;Reed's Birdie Shot, Inc.'s 2011 income statement lists the;following income and expenses: EBIT = $550,000, Interest expense = $43,000, and;Net income = $300,000. Calculate the 2011 Taxes reported on the income;statement.;Question 8;1 out of 1 points;Debt versus Equity Financing You are considering a stock;investment in one of two firms (AllDebt, Inc. and AllEquity, Inc.), both of;which operate in the same industry and have identical operating income of $3;million. AllDebt, Inc. finances its $6 million in assets with $ 5 million in;debt (on which it pays 5 percent interest annually) and $ 1 million in equity.;AllEquity, Inc. finances its $6 million in assets with no debt and $6 million;in equity. Both firms pay a tax rate of 40 percent on their taxable income.;What are the asset funders' (the debt holders and stockholders') resulting;return on assets for the two firms?;Question 9;1 out of 1 points;Statement of Cash Flows Crispy Corporation has net cash flow;from financing activities for the last year of $20 million. The company paid $5;million in dividends last year. During the year, the change in notes payable on;the balance sheet was an increase of $2 million, and change in common and;preferred stock was an increase of $3 million. The end of year balance for;long-term debt was $45 million. What was their beginning of year balance for;long-term debt?;Question 10;1 out of 1 points;Free Cash Flow The 2010 income statement for Betty's;Barstools shows that depreciation expense is $100 million, EBIT is $ 400;million, and taxes are $ 120 million. At the end of the year, the balance of;gross fixed assets was $510 million. The increase in net operating working;capital during the year was $94 million.;Betty's free cash flow for the year was $625 million. What;was the beginning of year balance for gross fixed assets?;Question 11;0 out of 1 points;Corporate Taxes Suppose that in addition to the $300,000 of;taxable income from operations, Liam's Burgers, Inc. received $ 25,000 of;interest on state-issued bonds and $50,000 of dividends on common stock it owns;in Sodas, Inc.;Using the tax schedule in Table 2.3 what is Liam's income;tax liability? What are Liam's average and marginal tax rates on total taxable;income?;Question 12;0 out of 1 points;The 2011 income statement for Dufy's Pest Control shows that;depreciation expense is $180 million, EBIT is $420 million, EBT is $240;million, and the tax rate is 30 percent. At the beginning of the year, the;balance of gross fixed assets was $1,500 million and net operating working;capital was $500 million. At the end of the year gross fixed assets was $1,803;million. Dufy's free cash flow for the year was $425 million. Calculate the end;of year balance for net operating working capital.;Question 13;1 out of 1 points;Market Value versus Book Value Glo's Glasses balance sheet;lists net fixed assets as $20 million. The fixed assets could currently be sold;for $25 million. Glo's current balance sheet shows current liabilities of $7;million and net working capital of $3 million. If all the current accounts were;liquidated today, the company would receive $ 9 million cash after paying $7;million in liabilities. What is the book value of Glo's assets today? What is;the market value of these assets?;Response;Question 14;1 out of 1 points;Market Value versus Book Value Rupert's Rims balance sheet;lists net fixed assets as $15 million. The fixed assets could currently be sold;for $17 million. Rupert's current balance sheet shows current liabilities of $5;million and net working capital of $3 million. If all the current accounts were;liquidated today, the company would receive $6 million cash after paying $5;million in liabilities. What is the book value of Rupert's assets today? What;is the market value of these assets?;Question 15;1 out of 1 points;Which financial statement reports a firm's assets;liabilities, and equity at a particular point in time?

 

Paper#48239 | Written in 18-Jul-2015

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