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Verizon Communications: history, ratios, industry

Verizon Communications Inc. - What is the history of this company? How did it begin? What differentiates this company from its competitors? - Compute the following ratios for this company: o current ratio o inventory turnover ratio o accounts receivable turnover ratio o debt to equity o return on assets o return

Financial Management: shareholder wealth, WC, ratios, bonds

Please help answer the following financial managment short essay questions. 1. Describe/explain the importance of maximizing shareholders wealth. Why does finance regard share value maximization as the primary corporate objective? 2. Describe/explain working capital management and what it involves. 3. What are the goal

Payments and Rate of Return

Assume you are planning how to finance your child's college education. The child is 3 years old now so there are 15 years to go before your child enters college at age 18. According to your estimates you will need $80,000 in the bank at that time. a. If you believe you can earn 9% a year, on average, between now and the time

Multiple choice in depreciation, cost recovery, amortization and depletion

Hazel purchased a new business asset (five-year property) on November 30, 2007, at a cost of $100,000. This was the only asset acquired by Hazel during 2007. On January 7, 2008, Hazel placed the asset in service. She did not elect to expense any of the asset cost under § 179, nor did she elect straight-line cost recovery. On Oc

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McNally INC. has sales of $1,000,000 million per year, all on credit terms calling for payment within 30 days, and its accounts receivable are $200,000. How much capital would be released if McNally could take actions that caused all of its customers making on time payments, with out affecting sales, i.e., by how much would its


15. 2 Acetate, Inc. , has equity with a market value of $20 million and debt with a market value of $10 million. The cost of the debt is 14 percent per annum. Treasury bills that mature in one year yield 8 percent per annum, and the expected return on the market portfolio over the next year is 18 percent. The beta of Acetate's

Numerous terms and their role in finance

Please help me to define the following terms and identify their role in finance a. Finance b. Efficient Market c. Primary Market d. Secondary Market e. Risk f. Security g. Stock h. Bond i. Capital j. Debt k. Yield l. Rate of Return m. Return on Investment n. Cash Flow Attachment(s):none

Purchase of Stock

Fison Corp. purchased 15,000 shares of its $2 par common stock at a cost of $12 per share on April 30, 2006. The stock was originally issued at $10 per share. The entry to record the purchase of the stock should include a debit to a. Common Stock for $30,000. b. Treasury Stock for $30,000. c. Common Stock for $180,000.

Relationship between price of financial asset and return

1. What is the relationship between the price of a financial asset and the return that investors require on that asset, holding other factors constant? 2. Describe how you could estimate the required rate of return on a share of preferred stock if you know its market price and its dividend.

Financial Risk of Capital Budgeting Decisions

Please help with the following. Thank you. Briefly explain how the following items affect the capital budgeting decisions of multinational companies: (a) exchange rate risk; (b) political risk; (c) tax law differences; (d) transfer pricing; and (e) a strategic rather than a strict financial viewpoint.

Debt Ratio and Du Pont analysis

I need help with the following questions 2- Debt ratio Bartley Barstools has an equity multiplier of 2.4, and its assets are financed with some combination of long- term debt and common equity. What is its debt ratio? 3-Du Pont analysis Doublewide Dealers has an ROA of 10 percent, a 2 percent profit margin, and an ROE of

Current Trends in Macro and Microeconomics

The Microsoft antitrust trial (United States vs. Microsoft) has been one of the biggest investigations of antitrust behavior since the turn of the century. Split your group into two sides: one that supports the government side, and one that support's Microsoft's side. Work (via email, small group discussion board, and small grou


Sometimes market activities (production, buying and selling) have unintended positive or negative effects outside the market's scope. This is called an externality. Suppose that you are a policy maker concerned with correcting the effects of gases and particulates emitted by and local power plant. What tools would you use? What

Inflation and Fiscal Policy

#1 What measures can the government take to combat inflation? #2 Can you describe the good side of inflation? #3 Crude oil prices are a continuing hot topic, even though the debate may have worn thin. It is important because it impacts so much in our personal and business lives. Here's a different slant. There is a great m

Accounting: Receivables, basket purchase, amortization, bonds, warranty

Assorted problems for accounting 1. On January 1, 2007, Accounts receivable and the allowance for doubtful accounts carried balances of $30,000 and $500, respectively. During the year the company reported $70,000 of credit sales. There was $550 of receivables written-off as uncollectible in 2007. Cash collections of receivabl

Ultra Corporation: compute price of preferred stock; define inflation

Problem # 10-18 The preferred stock of Ultra Corporation pays annual dividend of $6.30. It has a required rate of return of 9 %. Compute the price of the preferred stock. QUESTION How do you define inflation and what measures can be taken to lessen the impact of inflation on the economy?

Overview of Public Finance

Prepare a 750-1,000-word paper in which you do the following: a. Explain the philosophy of public finance. b. Contrast governmental accounting with nongovernmental accounting. c. Explain the relationship between budgeting and financial reporting in government.

Financial Analysis

Your company is considering three mutually exclusive projects. Project A will expand the existing business operations in the current location. Project B will expand the existing business operations to the adjacent county. Project C will expand into a new business operation that is not related to current business operations. Surp

Question about loan amortization

Loan Amortization When Evelyn and Paul Peters were "house hunting" five years ago, the mortgage rates were pretty high. The fixed rate on a 30-year mortgage was 8.75% while the 15-year fixed rate was at 8%. After walking through many homes, they finally reached a consensus and decided to buy a $200,000 twostory house in an up a

Falling GDP coupled with high inflation

Let us assume that economic forecasts are predicting falling GDP (Gross Domestic Product) coupled with high inflation over the next couple of years. Based on this information, if you were a portfolio manager what would your recommendations be for investing in the construction industry? Why? What about in the health care industry

Western Wood Products cost drivers: single or two part rate method

Western Wood Product has two production departments: cutting and assembly. The company has been using a single predetermined cost driver rate based on plantwide direct labor hours. That is, the plantwide dividing plantwide cost driver rate is computed by dividing plantwide support costs by total plantwide direct labor hours. The

Price Elasticity of Demand for TV sets

Suppose that during a given year: (a) The price of TV sets increases by 4 percent in Japan, (2) the dollar depreciates by 5 percent with respect to the yen, (3) consumer incomes in the U.S. increase by 3 percent, (4) the price elasticity of demanrd for imported TV sets in the U.S. is 1.5, and (5) consumers income elasticity of

Financial Crisis at Your Company: SEC Required Press Release and Internal Memo

The company with which you are currently employed is experiencing a financial crisis. The Chief Financial Officer (CFO) has suddenly resigned and no one is discussing the reasons why. The U.S. Securities and Exchange Commission (SEC) is investigating your company's accounting practices and from the documents they have requested,

Money, Banking and International Finance

1. I would like to understand what this truly means and what globalization has to do with financial markets and how they impact the Healthcare. When I read this article it seems to be boring. I guess I need examples to understanding what it truly means and maybe it won't seem boring.

Omni Technology's 3 affiliates: calculate ratios for each affiliate.

5. Omni Technology Holding Company has the following three affiliates: Personal International Software Computers Operations Sales $40,000,000 $60,000,000 $100,000,000 Net Income (after tax) 2,000,000 2,000,000 8,000,000 Assets 5,000,000 25,000,000 60,000,000 Stockholder equit

Decision Making: The Martha Stewart, ImClone Stock Scandel and Trial

Part I What reasons could Martha Stewart have had to: 1. Act upon the stock tip she receive by selling all her stock 2. Then lying to Federal Agents about it Part II What were the negative consequences of her actions? 1. How did it affect her business empire? 2. How did it affect her personal life? 3. In what oth