6Suppose Blooper's financials are as follows: See SPREADSHEET 9.1InputsInitial InvestmentSalvage valueInitial revenueInitial expensesInflation rateDiscount rateokAcct receivable as % of salesInvestment as % of expensesTax rate150Spreadsheet NameInvestment20Salvage150Initial revenue100Initial expenses5.0%1.1%1/415.0%21.0%InflationDiscount rateARInv_pctTax rateCalculate Blooper's working capital in each year of its project.YearWorkingCapital0123456CO

Here, we can use the accounts receivable as a percentage of sales and the investment as a percentage…

Answered: 6 Suppose Blooper's financials are as…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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tol Processing ng Help Save & Exit Submit Saved Practice Problems i Check my work Eaton Electronic Company's treasurer uses both the capital asset pricing model and the dividend valuation model to compute the cost of common equity (also referred to as the required rate of return for common equity). Assume: Rf = 7% Km 10% = 1.6 D1 = $ 0.70 $ 19 8% %3D PO = nt a. Compute Ki (required rate of return on common equity based on the capital asset pricing model). (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) ences Ki b. Compute Ke (required rate of return on common equity based on the dividend valuation model). (Do not round intermediate calculations, Input vour answer as a percent rounded to 2 decimal places.) < Prev 10 of 10 Next Mc Graw Hill 149 MacBook Air
Please answer all 4 parts with explanations thx
Question content area top Part 1 Assuming a 1-year, money market account investment at 2.282.28 percent (APY), a 1.391.39 percent inflation rate, a 2525 percent marginal tax bracket, and a constant $50 comma 00050,000 balance, calculate the after-tax rate of return, the real rate of return, and the total monetary return. What are the implications of this result for cash management decisions? Question content area bottom Part 1 Assuming a 1-year, money market account investment at 2.282.28% (APY), a 2525% marginal tax bracket, and a constant $ 50 comma 000$50,000 balance, the after-tax rate of return is 1.711.71%. (Round to two decimal places.) Part 2 Assuming a 1-year, money market account investment at 2.282.28% (APY), a 2525% marginal tax bracket, and a constant $ 50 comma 000$50,000 balance, the after-tax monetary return is $855855. (Round to the nearest dollar.) Part 3 Given an after-tax return of 1.711.71% and an inflation rate of…
A company is considering expanding its production line. Cost for the the equipment for the expansion: Annual incease in sales: Number of years of the project: Annual operating costs other than depreciation: The company's tax rate: There is no change in Working Capital $200,000 $125,000 3 $50,000 35% The equipment will be depreciated on a 3 year straight line basis with 0 salvage value. At the end of 3 years the equipment disposed of at no cost or sale. Calcualte the Net Free Cash Flow for years 0 and 1 only as listed below. Do not use commas, decimals, or dollar signs. Enter negative numbers with a minus sign.
Q1. Revenues Advertisement Salaries Sale of scrape Year 1 100000 4000 20000 Year 2 150000 5000 30000 Year 3 140000 3000 30000 5000 Year 4 110000 30000 Year 5 150000 35000 2000 Initial Investment Rs.200000 required rate of return on investment is 12% Required: (i) NPV, (ii) IRR and (iii) Payback period, and (iv) Discounted Payback Period.
Match the following measurements with the terms below: Question 15 options: 12345 cash conversion efficiency ratio 12345 economic ordering quantity 12345 credit terms 12345 net working capital 12345 days of working capital 1. 5.1% 2. 47.2 days 3. 1/10, n/30 4. $200,000 5. 700 units
omplete the following table: x Answer is complete but not entirely correct. Number of Amount of monthly Total of monthly Total finance Amount Purchase price of product Landcruiser Down financed monthly payments payments payments charge payment 538 52 x $ 36,584 X 75,900 48,000 27,900 24 68 %24 %24 Σ %24 %24
1- Find the internal rate using the method of Internal Rate of Return (IRR) if i= 15%, for the table shown below. If the initial cost is (220,000 U) Cost (U) 350 380 400 500 550 470 780 650 690 450 Revenue 0 0 500 1000 770 450 880 660 890 770 (U) 1 2 3 Year 4 5 6 7 8 9 10
PROBLEM 1-Benefit-Cost Analysis Which is the better alternative given 9% discount rate? Alternative A Alternative B 1000 1000 1000 1000 1000 1750 1750 1750 1750 1750 1 2 1 2 3 3,000 4,500 Equation for Incremental Analysis: Better Alternative: -- PROBLEM 2-Determine the External Rate of Return, i' Discount Rate%3D5% Cashflow PV-Cash Outflow PV-Cash Inflow Year (P27,500) 6,000 8,000 7,000 (4,000) 9,000 5,000 6. 1 2 4 3 4 2 1 %3D %3D
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Pls do fast and i will rate instantly for sure Solution must be in typed form

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