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##### Finance Assignment

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Question;16;Find;present value in Annuity Due;N = 5;years, monthly payments;Interest;rate = 8%, compounded monthly;PMT =;-1000x(8%/12);FV =;-1000;Compute;PV;17;Find;present value in Ordinary annuity;N = 30;years, monthly payments;Interest;rate = 8%, compounded monthly;PMT =;-850;FV = 0;Compute;PV;Questions;18-27 use the same data;18;Mortgage;- Find payment;N = 20;years, monthly payments, starts at end of January;Interest;rate = 7%, compounded monthly;PV =;350,000;FV = 0;Compute;payment PMT;P1 = 1;P2 = 12;19;Balance;at end of December in first year;20;Total;Principal Repayment at end of first year;21;Total Interest;payments at end of first year;P1 = 61;P2 = 72;22;Balance;at end of December in 6th year;23;Total;Principal Repayment in 6th year;24;Total;Interest payments in 6th year;25;Balance;at end of December in 11th year;26;Total;Principal Repayment in 11th year;27;Total;Interest payments in 11th year;Questions;28 - 31 use the same data;28;Find;Mortgage payment;N = 30;years, monthly payment, Annuity Due;Interest;rate = 5.25%, compounded monthly;PV =;200000;FV = 0;Compute;PMT;Amortization;schedule after 10 years - Same data as Q28;P1 = 1;P2 = 120;29;Balance;after 10 years of payments;30;Total;Principal Repayment after 10 years of payments;31;Total;interest payments after 10 years of payments;32;Compute;IRR using following data;CF0=-10000;CF1=2500;CF2=2500;CF3=3500;CF4=3500;CF5=5000;33;Compute;NPV;Same cash;flows as Q32;Interest;rate = 8%;Part II: Financial Statements Review (35 marks);Build the Income;Statement and Balance Sheet for CanDo Inc. based on the information given;below, as of December 31,2009.;Accounts;payable;\$141,000;Accounts;receivable;\$103,000;Cash and;cash equivalents;\$154,000;CoGS;\$224,700;Common;Stock;\$1,286,000;Depreciation;\$37,000;Dividend;payout ratio;40%;Interest;paid;\$43,000;Inventory;\$129,000;Long-term;debt;\$1,254,000;Net;Fixed Assets;\$2,530,000;Sales;\$330,000;Short-term;debt;\$132,000;Tax rate;35%;Number;of shares;1,000,000;Price;per share;\$0.50;The;following table presents the data for CanDo Inc. in as of December 312008;Accounts payable;\$104,000;Accounts receivable;\$146,000;Cash and cash;equivalents;\$108,000;CoGS;\$224,700;Common Stock;\$1,286,000;Depreciation;\$37,000;Dividend payout ratio;40%;Interest paid;\$43,000;Inventory;\$123,000;Long-term debt;\$1,254,000;Net Fixed Assets;\$2,467,000;Sales;\$330,000;Short-term debt;\$106,867;Tax rate;35%;Calculate;the following financial ratios for CanDo Inc. in the fiscal year of2009;Interval measureTotal debt ratioLong-term debt ratioPrice-earnings;(P/E) ratioMarket-to-book;ratio

Paper#49465 | Written in 18-Jul-2015

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