Mega Chemical Company produces ZylexA and a related product called Zylex B. Zylex B, which sells for $15.00 per gallon, is made from a base of ZylexA plus additional ingredients. It takes 25 minutes to manufacture a gallon of ZylexA and an additional 10 minutes to manufacture a gallon ZylexB. ZylexA sells for $9.00 per gallon. T
Many companies place disproportionate emphasis on the financial perspective at the expense of the other three perspectives. Give an example of an organization which you are familiar from either previous coursework, the news, or personal experience where this has been the case. What were the results of this focus on the financial
How could corporate income be explained under a comprehensive income tax without recourse to a corporate income tax? How can separate taxation of corporate income be justified?
A) What are your thoughts regarding if ethics can be taught? Can we teach people right from wrong from a business ethics perspective? B) What are some questions an associate should ask when considering a particular action that impacts a firm? C) What are some things firms can do to promote ethical behavior and help limit
You have been given the following projections for Cali Corporation for the coming year. Sales = 10,000 units Sales price per unit = $12 Variable cost per unit = $6 Fixed costs = $10,000 Long-term debt = $15,000 Interest rate on long-term debt = 8% Tax rate = 40% Dividend payout ratio = 60% Expected long-term growth ra
A firm has the following Balance Sheet: CA 7,000 FA 3,000 TA 10,000
On August 31, Jenks Co. partially refunded $180,000 of its outstanding 10% , note payable, made 1 year ago to Arma State Bank by paying $180,000 plus $18,000 interest (having obtained the $198,000 by using $52,400 cash and siging a new 1-year $160,000 note discounted at 9% by the bank) 1. Make the entry to record the partial
Choose a public company, and present findings from your financial analysis in a report. Your report must include the following: Describe why the company was chosen. Give a description of the operating profit margin. Give a description of the asset turnover. Give a description of the equity multiplier.
Discuss why financial institutions are heavily regulated, with specific focus on their ability to increase or reduce the money supply. How does the Federal Reserve currently regulate financial institutions in the United States, and what effect has such regulation had on the U.S. financial services industry? What are the benefits
A certain firm grants trade credit with terms of 2/10, net 30. What is the nominal cost of trade credit to a customer who pays on the due date? Set calculator to four decimal places to obtain the percentage answer to two decimal places What is the nominal cost of trade credit to the customer above who stretches the payable
Assume the same set of facts for Stacy Company as in Problem 10-2 except that the market rate of interest of January 1, 2008, is 8% and the proceeds from the bond issuance equal $10,803. Required 1. Prepare a five year table (similar to Exhibit 10-5) to amortize the premium using effective interest method 2. What is the to
Make-or-BuIncremental Analysis - Make or Buy Decision y Decision. Please see attachment.
Allocated Cost and Opportunity Cost. Binder Manufacturing produces small electric motors used by appliance manufacturers. In the past year, the company has experienced severe excess capacity due to competition from a foreign company that has entered Binder's market. The company is currently bidding on a potential order from Dac
Why is it difficult to predict the effect of a comprehensive income tax on saving? Explain an individual's choice between consumption and saving.
If you were to get a physical from your Doctor and they only took your blood pressure prior to stating that you are in good health, would you be concerned? If you have noticed in your readings starting in Chapter 3 that there has been explanation of the methods by which you could determine the financial health of a company. Name
Michael Bordellet is the owner/pilot of Bordellet Air Service. The company flies a daily round trip from Seattle's Lake Union to a resort in Canada. In 2010 the company recorded an annual income before taxes of $8,083 although that included a deduction of $70,000 reflecting Michael's "salary". Price $360
An investor is considering the purchase of 25 acres of land. An analysis indicates that the land will produce a cash flow (net of all expenses) of $10,000 per year forever. If the investor re¬quires a return of 10 percent, what is the most the investor should pay per acre for the land?
You can purchase a new building within the city limits for $525,000. The city will offer a special incentive reducing the price by $25,000. The city will finance the building over a period of 20 years at a 5.25% APR Should you pay the loan off 5 years early the city will rebate you an additional 10% of the purchase price
A manufacturing company produces and sells 40,000 units of a single product. Variable costs total $80,000 and fixed costs total $120,000. If unit is sold for $8, what markup percentage is the company using?
9A-2 Dave skold owns and operates a small chain of convenience stores in Waterloo and Cedar Rapids. The company has five stores including downtown store and Big Rock store in the Waterloo division: and a downtown store, a solon store and an airport store in the Cedar Rapids Division. There is also a separate administrative staf
On January 1, 2008, Rans Co. purchased a patent for $595,000. The patent is being amortized over its remaining legal life of 15 years expiring on January 1, 2023. During 2011, Rans determined that the economic benefits of the patent would not last longer than ten years from the date of acquisition. What amount should be reported
1) Float and weighted average delay: your neighbor goes to the post office once a month and picks up two checks, one for $17,000 and one for $6,000.The larger check takes four days to clear after it is deposited; the smaller one takes five days. a) What is the total float for the month b) What is the average daily float c) Wh
You are the sales manager of a specific territory in Missouri for a company that manufactures highly specialized electrical parts. Your boss, the head of sales for Missouri, is being temporarily moved to California for a few months during which time the sales chief of Kansas would be handling his responsibilities. Before leaving
You are an investment advisor. Your 60 year old client with $200,000 in investable assets firmly believes in market inefficiency. Suggest and discuss five specific real-world investments you would recommend to this person and why. stocks bonds mutual funds etfs ect....
What constitutes total risk, and how is it measured? Of the two components of total risk, discuss which one investors can eliminate? Explain the remaining risk, and how is it measured?
Red Corporation had a temporary cash squeeze near its balance sheet date. It needed cash badly for a seasonal dip in sales. However, a loan covenant requiring a certain debt/equity ratio would be violated if any additional money were borrowed. To remedy this,the top two officers of the Red Corporation set up another corporation,
Complete the following assignment by entering the information in an excel spreadsheet and using the graphing capabilities in Excel to create the yield curve. your conclusions may be typed into your Excel spreadsheet or separately in a Word file. Use different financial resources such as Yahoo Finance, Federal Reserve Bank websit
Please see attachment for case study.
The concept of earnings management connotes different things to different users of the term. Define earnings management. Discuss why it is difficult to discern whether a firm does in fact practice earnings management.
Define diversification, economic recession and economic expansion. What judgment would you make about diversification during an economic recession? An economic expansion?