Fundamentals of Corporate Finance (Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)
9th Edition
ISBN: 9781259722615
Author: Richard A Brealey, Stewart C Myers, Alan J. Marcus Professor
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 3, Problem 6QP
Financial Statements. South Sea Baubles has the following (incomplete)
- a. What is shareholders’ equity in 2015?
- b. What is shareholders’ equity in 2016?
- c. What is net working capital in 2015?
- d. What is net working capital in 2016?
- e. What are taxes paid in 2016? Assume the firm pays taxes equal to 35% of taxable income.
- f. What is cash provided by operations during 2016? Pay attention to changes in net working capital, using Table 3.4 as a guide.
- g. Net fixed assets increased from $800 million to $900 million during 2016. What must have been South Sea’s gross investment in fixed assets during 2016?
- h. If South Sea reduced its outstanding accounts payable by $35 million during the year, what must have happened to its other current liabilities?
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Chapter 3 Solutions
Fundamentals of Corporate Finance (Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)
Ch. 3 - Prob. 1QPCh. 3 - Prob. 2QPCh. 3 - Balance Sheet. Construct a balance sheet for...Ch. 3 - Income Statement. A firm’s income statement...Ch. 3 - Prob. 5QPCh. 3 - Financial Statements. South Sea Baubles has the...Ch. 3 - Prob. 8QPCh. 3 - Prob. 9QPCh. 3 - Prob. 10QPCh. 3 - Prob. 11QP
Ch. 3 - Prob. 12QPCh. 3 - Prob. 13QPCh. 3 - Prob. 14QPCh. 3 - Working Capital. QuickGrow is in an expanding...Ch. 3 - Prob. 16QPCh. 3 - Prob. 17QPCh. 3 - Prob. 18QPCh. 3 - Prob. 19QPCh. 3 - Prob. 20QPCh. 3 - Free Cash Flow. Free cash flow measures the cash...Ch. 3 - Prob. 24QPCh. 3 - Prob. 25QPCh. 3 - Prob. 26QPCh. 3 - Prob. 27QPCh. 3 - Prob. 28QPCh. 3 - Prob. 29QPCh. 3 - Prob. 31QPCh. 3 - Prob. 32QPCh. 3 - Prob. 33QPCh. 3 - Prob. 34QPCh. 3 - Prob. 35QPCh. 3 - Prob. 36QPCh. 3 - Prob. 37QPCh. 3 - Prob. 38QP
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