I am stuck on this problem the answer I got

Get college assignment help at Smashing Essays Question I am stuck on this problem the answer I got was 98.00. But it says that it is incorrect I punch in the numbers and I keep getting this answer.The question is Jack asked Jill to marry him, and she has accepted under one condition: Jack must buy her a new $330,000 Rolls-Royce Phantom. Jack currently has $45,530 that he may invest. He has found that pays 4.5% annual interest in which he will place the money. How long will it take Jack to win Jill’s hand in marriage? This is what I plug in: PV=-45,530, FV= 330,000, i=4.5%.

A cash budget is unnecessary under level production since we

Question A cash budget is unnecessary under level production since we know how much will be produced every month.T/F Growth in sales volume precludes a shortage of funds. T/F Operating leverage will change when a firm alters the mix of fixed capital resources and labor that it uses.T/F Operating leverage determines how income from operations is to be divided between debt holders and stockholders.T/F

Shanken Corp. issued a 30-year, 10 percent semiannual bond 3

Question Shanken Corp. issued a 30-year, 10 percent semiannual bond 3 years ago. The bond currently sells for 106 percent of its face value. The company’s tax rate is 33 percent.

How do you manage payroll costs through the use of

Question How do you manage payroll costs through the use of productivity standards, sales volume, and schedules? 100-150 words

Maraston Marble Corporation is considering a merger with the Conroy

Question Maraston Marble Corporation is considering a merger with the Conroy Concrete Company. Conroy is publicly traded company, and its beta is 1.30. Conroy has been barely profitable, so it has paid an average of only 20% in taxes during the last several years. In addition, it uses little debt, having a target ratio of just 25% , with the cost of debt 9%. If the acquisition were made, Marston would operate Conroy as a separate, wholly owned subsidiary. Marston would pay taxes on a consolidate basis, and the tax rate would therefore increase to 35%. Marston also would increase the debt capitalization in the Conroy subsidiary to wD = 40% for a total of $22.27 million in debt by the end of year 4 and pay 9.5% on the debt. Marston’s acquisition department estimates that Conroy, if acquired, would generate the following free cash flows and interest expenses (in millions of dollars) in Year 1-5: YEAR Free Cash Flows Interest Expense 1 $1.2 $1.30 2 1.50 1.7 3 1.75 2.8 4 2.00 2.1 5 2.12 ? In Year 5 Conroy’s interest expense would be based on its beginning of year (that is, the end of Year 4) debt, and in subsequent years both interest expense and free cash flows are projected to grow at a rate of 6%. These cash flows include all acquisition effects. Marston’s cost of equity is 10.5%, its beta is 1.0, and its cost of debt is 9.5%. The risk free rate is 6%, and the market risk premium is 4.5%. A- What is the value of Conroy’s unlevered operation, and what is the value of Conroy’s tax shield under the proposed merger and financing arrangements? B- What is the dollar value of Conroy’s operations? If Conroy has $10 million in debt outstanding, how much would Marston be willing to pay for Conroy?

The City Street Corporation’s common stock has a beta of

Question The City Street Corporation’s common stock has a beta of 1.2. The risk-free rate is 3.5 percent and the expected return on the market is 13 percent. What is the firm’s cost of equity?

Fundamental factors that affect the cost of money.

Question Fundamental factors that affect the cost of money.

Staind, Inc., has 6 percent coupon bonds on the market

Question Staind, Inc., has 6 percent coupon bonds on the market that have 13 years left to maturity. The bonds make annual payments. If the YTM on these bonds is 10 percent, what is the current bond price

Bond Prices WMS, Inc., has 7.5 percent coupon bonds on

Question Bond Prices WMS, Inc., has 7.5 percent coupon bonds on the market that have 10 years left to maturity. The bonds make annual payments. If the YTM on these bonds is 8.75 percent, what is the current bond price?

Please, answer these three problems in one Exel file and

Question Please, answer these three problems in one Exel file and one problem per sheet. 1. You are to compute a five year average of the following ratios for these three companies: Coca Cola, Disney, and Noble Energy. These three companies cannot be the companies that you used in your week five discussion. The ratios to complete are: a. Retention rate b. Net profit margin c. Equity turnover d. Total asset turnover e. Total assets/equity 2. Indian River Citrus earned $6.00 per share last year and paid a dividend of $2.40 a share. Next year, you expect Indian River to earn $6.50 per share and continue its payout ratio. Assume you expect to sell the stock for $60 a year from now. If you require a 14% return on this stock, how much would you be willing to pay for it today? 3. Currently, the dividend-payout ratio (D/E) for the aggregate market is 50 percent, the required return (k) is 8 percent, and the expected growth rate for dividends (g) is 3 percent. a. Compute the current earnings multiplier b. You expect the D/E ratio to decline to 40 percent, but you assume there will be no other changes. What will be the P/E? c. Starting with the initial conditions, you expect the dividend-payout ratio to be constant, the rate of inflation to increase by 3 percent, and the growth rate to increase by 2 percent. Compute the expected P/E. d. Starting with the initial conditions, you expect the dividend-payout ratio to be constant, the rate of inflation to decline by 3 percent, and the growth rate to decline by 1 percent. Compute the expected P/E. Thank you

What two factors have hurt real estate in recent times?

Get college assignment help at Smashing Essays Question What two factors have hurt real estate in recent times? Why might the future outlook be more positive?

aurel Electronics reported the following information at its annual meetings.

Question aurel Electronics reported the following information at its annual meetings. The company had cash and marketable securities worth $1,235,455, accounts payables worth $4,159,357, inventory of $7,121,599, accounts receivables of $3,488,121, short-term notes payable worth $1,151,663, and other current assets of $121,455. Suppose marking-to-market reveals that the market value of the firm’s inventory is 83 percent below its book value and its receivables are 79 percent below its book value. The market value of its current liabilities is identical to the book value. What is the firm’s net working capital using market values? What is the percent difference in net working capital? (Round computations and final answer to 0 decimal places, i.e. 5,250,250. If entering a negative number use negative (-) sign preceding the number.)

Anderson International Limited is evaluating a project in Erewhon. The

Question Anderson International Limited is evaluating a project in Erewhon. The project will create the following cash flows: Year Cash Flows 0 -$750,000 1 205,000 2 265,000 3 346,000 4 220,000 All cash flows will occur in Erewhon and are expressed in dollars. In an attempt to improve its economy, the Erewhonian government has declared that all cash flows created by a foreign company are “blocked” and must be reinvested with the government for one year. The reinvestment rate for these funds is 4 percent. If Anderson uses an 11 percent required return on this project, what is the NPV of the project?

If you can borrow all the money you need for

Question If you can borrow all the money you need for a project at 6 percent, doesn’t it follow that 6 percent is your cost of capital for the project?

Calculate the average underpricing and average initial return. IPO Shares

Question Calculate the average underpricing and average initial return. IPO Shares Owned Price per Share Initial return A 500 $10 7% B 200 20 12% C 1,000 8 -2%

Hello, I do not have a finance background and am

Question Hello, I do not have a finance background and am stuck with this problem. The cost of equity formula does not seem to match the information I have been given below. Please help A high-tech company decides to go public and expects its offer to be priced so that it yields a 20% initial return for the investors, and a 12% return per annum after that to infinity. The direct (out-of-pocket) costs of the IPO are 7% of offer proceeds. a) What is the cost of equity capital for the company? b) If the company expects that its stock offers only a 9% per annum return to investors during the first 5 years immediately after the IPO, and thereafter 12% per annum to infinity, how does the cost of equity capital change?

The Woods Co. and the Mickelson Co. have both announced

Question The Woods Co. and the Mickelson Co. have both announced IPOs at $43 per share. One of these is undervalued by $8, and the other is overvalued by $6, but you have no way of knowing which is which. You plan to buy 1,000 shares of each issue. If an issue is underpriced, it will be rationed, and only half your order will be filled. If you could get 1,000 shares in Woods and 1,000 shares in Mickelson, your profit would be______ $. However, you actually expect a profit of_____ $. (Negative amount should be indicated by a minus sign. Do not include the dollar signs ($). Round your answers to the nearest whole dollar amount. (e.g., 32))

The Clifford Corporation has announced a rights offer to raise

Question The Clifford Corporation has announced a rights offer to raise $35 million for a new journal, the Journal of Financial Excess. This journal will review potential articles after the author pays a nonrefundable reviewing fee of $3,500 per page. The stock currently sells for $40 per share, and there are 3.71 million shares outstanding. a. The maximum possible subscription price is $. The minimum price is anything greater than $. (Do not include the dollar signs ($).) b. If the subscription price is set at $28 per share, shares must be sold. (Round your answer to the nearest whole number. (e.g., 32)) It will take rights to buy one share. (Round your answer to 2 decimal places. (e.g., 32.16)) c. The ex-rights price is $. The value of a right is $. (Do not include the dollar signs ($). Round your answers to 2 decimal places. (e.g., 32.16)) d. Before and after the offering, the portfolio value of a shareholder who held 1,000 shares prior to the offering will be worth $ and $, respectively.

You recently graduated from college,and your job search led you

Question You recently graduated from college,and your job search led you to East Coast Yachts. Since you felt the company’s business was seaworthy,you accepted a job offer. The first day on the job,while you are finishing your employment paperwork,Dan Ervin, works in finance,stops by to inform you about the company’s 401(k)plan. A 401(k) plan is a retirement plan offered by many companies.Such plans are tax-deferred savings vehicle,meaning that any deposits you make into the plan are deducted from your current pretax income.so no taxes are paid on the money.

an investor would want to do what to exploit an

Question an investor would want to do what to exploit an expected fall in interest rates?

Use the following information for the next two questions. In

Question Use the following information for the next two questions. In order to estimate the average time spent on the computer terminals per student at a local university, data were collected for a sample of 81 business students over a one week period. The population standard deviation is 1.8 hours. What is the standard error of the mean? Answer Question 4 answers a. 0.20 b. 0.39 c. 1.55 d. 2.00

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