3. A man has an investment of P 13, 760.00 in cash for equipment. His estimates of the yearreceipts and disbursements for all purposes are shown below.YearReceiptsDisbursementP0.00P 13, 760.001.P5, 000.00+P 1, 000.002P 6, 200.00+P 1, 200.00P7, 500.00+P 1, 500.004P8, 800.00+P 1, 800.00He estimates that his equipment has a salvage value of P 2,000.00 at the end of its useful life.Find the rate of return of the investment.Given:Required:Solution:PRODUCE NOT FOR SALE

There are three scenarios: Assumes the salvage value is already included in the receipts. Scenario…

Answered: 3. A man has an investment of P 13,…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Using the information given below calculate the cash flow from financing for Year 2. Year 1 Year 2 Cash 10.0 20.0 Receivables 30.0 35.0 Net property plant and equipment 50.0 60.0 Total assets 90.0 115.0 Payables 10.0 20.0 Debt 30.0 10.0 Common stock 5.0 15.0 Retained earnings 45.0 70.0 Total liabilities and equity 90.0 115.0 Net income 32.0 48.0 Select one: (53.0) (33.0) 13.0 (13.0)
Given the cash flows from the following information, find the payback period. Year Cash Flow 0 -$100,000 1 $20,000 2 $40,000 3 $60,000 4 $50,000 a. 2.67 years b. 2.83 years c. 2.56 years d. 2.71 years
Your employer, Rubio LLC, is considering an investment in an office building that has the following cash flows: Purchase in Year 0…………… $ -2,750,000 Year 1………………. 220,000 Year 2……………….. 226,000 Year 3……………….. 250,000 Year 4………………… 255,000 Year 5 ………………… 230,000, and a sale @ $3,290,000 takes place EOY 5 The company’s weighted average cost of capital that they use as their discount rate for such calculations is 12% What would be the total cash flows in Year 5, taking into consideration the cash flows, annual debt service, sale price and the balance on the loan at the EOY 5? $1,662,985 $1,937,607 $1,802,986 $1,343,455 What is the leveraged IRR of the project ? 64% 58% 48% 55% In the above problem, you might expect The Yield to be higher than the discount rate because you sold the property at a profit. The NPV to be positive because the IRR is higher than the discount rate The NPV to be negative because the IRR is lower than the discount rate All of the…
What is the payback period for the following set of cash flows? Year Cash Flow 0 -$ 3,000 1 2,400 2 1, 600 3 2,200 4 2,200 A) 1.44 years B)1.32 years C)1.68 years D)2, 200
What is the payback period for the following set of cash flows? Year 0 1234 Cash Flow -$5,300 2,700 1,300 2,000 2,600 O2.67 years O2.78 years O2.65 years O2.60 years O2.95 years 4
Required information E12-13 (Algo) (Supplement B) Computing and Reporting Cash Flow Effects of Sale of Plant and Equipment [The following information applies to the questions displayed below.] During two recent years, Perez Construction, Inc., disposed of the following plant and equipment: Year 1 $ 76,200 Plant and equipment (at cost) Accumulated depreciation on equipment disposed of Cash received Gain (loss) on sale E12-13 Part 1 42,785 20,264 (13, 151) Year 2 $15,900 4,973 14,563 3,636 Required: 1. Determine the cash flow from the sale of property for each year that would be reported in the investing activities section of the cash flow statement. (List cash outflows as negative amounts.)
Based on the following information, compute cash flows from financing activities under GAAP.Purchase of investments $ 250Dividends paid 1,200Interest paid 400Additional borrowing from bank 2,800
Cash and cash equivalents at end of the year R1,130,000 how did you get this amount?
Ay 2.
if the beginning cash balance is $5,000, the net cash inflow from operating activities is $20,000, net cash outflow from investing activities is $ (15,000) and net inflows from financing activities is $25,000. the cash balance at the end of the year is O a. $65,000 O b. $30,000 O c. $60,000 O d. $ 35,000
Subject: accounting
Hh1.

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