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What is external funds need (EFN) for REM Co?

The most recent financial statements for REM Co. are shown below: Income Statement Sales 400 Costs 200 Taxes 50 Net Income 150 Balance sheet Assets 1200 Total 1200 Debt 600 Equity 600 Total 1200 Assets and costs are proportional to sales. Debt is not. A dividend of $90 was paid, and

Calculate Share Price

Earnings per share for 2010 had been 22.8 pence, and Andrew Osborne expects this to increase to 25 pence per share for 2011. He states that this increase in earnings per share is in line with market expectations of the company's performance. The pattern of recent dividends, which are paid each year on 31 December, is as follow

Accrual Basis, KPMM Adjusting Entry, Credit Return Entry

7. Under the accrual basis of accounting, which of the following statements is correct? A. Cash must be paid before expense is recognized. B. Since the depreciation expense is a non-cash item, it is not shown in the Income Statement. C. The Cash Basis is preferred by GAAP since the Cash Basis is simple

Purchasing New Shares and Expected Capital Gain

Not a finance major and need assistance in computation. Mr. Jim owns 1,500 shares of stock in Company X. Company X's 18,750 shares outstanding are publicly traded and come with a pre-emptive right. They are currently trading at $27 a share. Company X is considering issuing 10,500 new shares to help finance the purchase of an

Liquidity risk, mispriced bond, and overhead efficiency ratio

1) Liquidity risk at a financial intermediary (FI) is the risk that promised cash flows from loans and securities held by FIs may not be paid in full. incurred by an FI when the maturities of its assets and liabilities do not match. that a sudden surge in liability withdrawals may require an FI to liquid

Positive Alphas

Although alpha represents superior performance why can't positive alphas alone guarantee a superior portfolio performance. Please discuss in detail and include at least 2 quality references.


E. none of the choices are examples of common-size financial statements 16. Meaningful peer group analysis requires that members of the peer group: I. are all in a similar industry II. have similar looking ticker symbols III. are of roughly similar size A. I only B. I and II only C. II and III only D. I and

finance practice questions

11. Board Bagels, a small cafe in downtown Pittsburgh, had a net sales of $230,000 for the most recent fiscal year, 65% of which were eaten up by its costs. The firm had some baking equipment that cost $45,000 with a salvage value estimated at $5,000 and was being depreciated over 10 years using the straight-line method. Interes

Organization Overview research paper: financial and international dealings

Research Paper Select a company that you are familiar with and write a paper that evaluates all aspects of the company's organization. In the Introduction, please provide some historical background of the company and its financial and international dealings. Some concepts to consider are: ? Culture of the organization

Short Finance Questions

Could you provide your feedback to these Finance questions? Per question 2, if you find anything from the internet then could you provide references. Please provide your feedback within 200 words. Thanks. 1. I would agree that many investors firmly believe in buy and hold. But stocks can fall and stay down for many years. S

Give two examples of promissory and affirmative warranties

Question 1 In insurance terminology, a warranty is a promise something has happened or exists (affirmative warranty) or something will happen (promissory warranty). Give two examples of promissory and affirmative warranties. What difference does it make to an insured if false statement made by the insured is considered

Identify and explain 5 fraudulent financial reporting schemes to your peers.

Your audit manager has assigned you to train your peers on an audit team about fraudulent financial reporting schemes. Identify and explain 5 fraudulent financial reporting schemes to your peers. Use 2 examples involving accounting transactions to demonstrate each of the schemes that you identified. Show how auditors ca

Differences - U.S. banking system and the financial markets

The new hires are interested in getting your thoughts on the collapse of the financial system in the United States in 2008. They ask about your understanding of American financial markets. -What are the differences between the U.S. banking system and the financial markets? -Are there any regulations for either of these in

CFO Role in Overhauling the Performance Measurement System

Should the CFO (or the finance group) take the lead or play a key role in overhauling the firm's performance measurement system? Why or why not? What are the major payoffs from overhauling the performance measurement system? What are some pitfalls in design and implementation? Where does corporate culture fit in the pro

PAP coverage if a named insured drives a non-owned auto

Bob, the named insured, is an auto mechanic. Bob and his wife, Belle, own and drive a Ford. They have 2 children, Ben and Bill. Ben, age 26, is in the U.S. Army, and comes home to visit about twice a year. Bill is 16, lives at home and has a learner's permit but no permanent driver's license. Ben often rents cars on weekends and

Monte Carlo Simulation and Picking the Best Investment

What is a Monte Carlo simulation..? And, why is it important? Assume a $4,000 investment and the following cash flows for two alternatives. Year Investment X Investment Y 1 $1,000 $1,300 2 800 2,800 3 700 100 4 1,900 5 2,000 a. Under

Valuation Models: ConocoPhilips

Company: ConocoPhillips Initiative to shareholders: "Through our investments, we are continuing to increase our emphasis on exploration and production, to which 86 percent of our capital program was dedicated during 2010, with 89 percent planned for 2011." Annual Report - 2010 Justify the current market price of Conoc

Hedge Funds and Alphas

Please help answer the following questions. What is a hedge fund? What is alpha? How do hedge funds tend to generate and report positive alphas? Please explain in detail. Please include 2 references.

Fed Reserve Board

The term of office for the Federal Reserve's Board of Governors is 14 years. But how long does a member actually serve? Calculate the average duration of Board service for these two twenty-year periods: 1950-1970 1990-2010 Note: Calculate the average period of time served based only on persons who went onto the Board after Ja

Public versus Private Financing

List the advantages and disadvantages of Public versus Private Financing. Discuss why companies go to private and leveraged buyouts.

Recommend a mutual fund for a middle aged college professor: retire in 25 years

See attached file. Please recommend a mutual fund for a middle aged college professor who is investing for his retirement in 25 years. Please provide your rationale for the recommendation (based on assumptions you make about the investor). I have chosen the Vanguard Target Retirement 2035 Fund (VTTHX) due to the fact it

Discuss operating expenses of types of mutual funds

1. Would you expect a typical open-end fixed income mutual fund to have higher or lower operating expenses than a fixed-income unit investment trust? Why? Please discuss in detail and give two references.

The PE ratio combined with forecasted earnings per share to forecast stock price. So how would you determine what the growth rate is to work into your application of the formula?

1. The PE ratio combined with forecasted earnings per share to forecast stock price. So how would you determine what the growth rate is to work into your application of the formula? 2. If the government and the global markets decided to change to one world currency but it was not as convenient to carry would you still be incl