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    BCD Ltd. Case Study: Financial Analysis

    You have been asked to find the value of BCD Ltd. and have been provided with thefollowing information: 2010 Sales 4,850,000 Cost of goods sold 3,260,000 Selling, general and admin (SG&A) 1,070,000 Depreciation 200,000 Interest 40,000 Other 30,000 Net income before taxes 250,000 Income taxes (@40%) 100,000 Net income

    Financial reporting requirements for Boonville Public Health Center

    In preparation for preparing the financial statements for Boonville Public Health Center, you need to review the financial reporting requirements for governmental and nonprofit organizations. Your assignment is to determine: (1) The governing authority for regulating the financial reporting of both governmental and nonprofit

    Managerial Accounting and Finance

    An artist creates original works on commission. She is likely to use what type of costing? job order process actual normal John Adams is a cash receipts clerk for Boro Company. He receives payments from customers and records the payments to the customers' accounts. John receives a p

    Price variance

    As a marketer, when do you think it is right to go against the pricing norms of your company? Would you be comfortable making the case to executives, or would you try it their way, then revise your pricing strategy? Additionally, do you think you should price a product differently (multiple price-points) depending upon the buyer

    Venture Capital Funding/Valuation

    You are an entrepreneur whose business requires $10 million in investment. A venture capital organization undertakes due diligence and offers to provide the funds in exchange for 50% ownership of the company. From discussion, you learn that the venture fund believes your company will be maturing in three years. You also learn th

    Advantages and disadvantages of the three forms of business organization

    What are the three forms of business organization and what are the advantages and disadvantages of each form? For a corporation, what is the overall goal of the financial manager? What is the objective of this firm? Do you agree with this goal? Why or why not? Please include any references.

    Information System in Accounting for Managing Change

    The area that I am investigating in is Information System in Accounting and Finance. My problems are: Please use Systems Development Life Cycle to explain how would introducing a new payment technologies affect an organisations? How could the System Analysis stage be used to identify the advantages and disadvantages of introd

    The Role of Financial Institutions in Financial Markets

    ? Write a paper, describing at least three major financial institutions. ? Describe possible markets those institutions, such as those in the following list, are involved with and explain interactions among them. Cite at least two sources. o Commercial banks o Insurance organizations o Investment banks o Pension funds o

    Subsidiary issues additional stock under different assumptions

    Primetime Corporation owns 2/3 (600,000 shares) of the outstanding $1 par common stock of Satellite company on January 1, 2006. In order to raise cash to finance an expansion program, Satellite issues an additional 100,000 shares of its common stock for $5 per share of January 3, 2006. Satellite's stockholder's equity before an

    Diversifying a Stock Portfolio

    Consider the following two, completely separate, economies. The expected and volatility of all stocks in both economies is the same. In the first economy, all stocks move together-in good times all prices rise together and in bad times they all fall together. In the second economy, stock returns are independent-one stock increa

    Leverage: EBIT and EPS

    I heard something from Bob the bartender the other day (Joe, the former bartender, left to form a financial consulting company). He said one type of leverage affects both EBIT and EPS. Then he said the other type of leverage affects only EPS. What do you think he meant by each of his statements?

    Flotation costs and issue size

    Firm needs to raise $10 million. Flotation costs are expected to be $15 per share and market price of stock is $120. How many shares would have to be issued? What is the dollar size of the issue?

    Financial Intermediary

    a) Is an investment bank, while facilitating the issue of securities, acting as a financial intermediary? Explain. b) Is an insurance company a financial intermediary? Explain. c) The savings rate domestically has increased, probably due to uncertainty about the future (as a result of the recent economic downturn). All e

    Break Even Analysis for Total Fixed Costs

    Total Fixed Cost $600,000 Plant Capacity 70,000 units Desired Profit $150,000 Unit Price $50 Variable Cost $30 Tax Rate 25% With this information, calculate the answers to the following questions: 1) Calculate what the total income the company must get its sales to cover the Total Fixed Cost, Total Variable Cost

    Investment Enhancement

    Investment Enhancement Paper Prepare a 1,050-1,750-word paper in which you address the following: a. Analyze the effects of international portfolio diversification on an investment portfolio b. Examine alternative investment vehicles. c. Explain how the use of derivative securities can further enhance a portfolio's performan

    Finding Break-Even and Profit Points: Byron Example

    Byron is planning to finance his college education by selling programs at the football games. There is a fixed cost of $400 for printing these programs, and the variable cost is $3. There is also a $1,000 fee paid to the University for the right to sell these programs. If Byron was able to sell programs for $5 each, how many wo

    Market Price Per Share: Kampfert Industries

    You are thinking about buying a share of Kampfert Industries, which has a current market price of $31.60 per share. Kampfert's expects to pay a dividend of $2.37 per share next year. Your required rate of return on these types of investments is 12%. If dividends are expected to grow at a constant rate for the foreseeable future,

    Monthly Payment, Inflation Rate, After-Tax Rate

    1. If Bank One is offering a 30 year mortgage with and EAR of 5 3/8 %. If you plan to borrow $150,000, what will your monthly payment be? 2. If the rate of inflation of 5%, what nominal interest rate is necessary for you to earn a 3% real interest rate on your investment? 3. Your best taxable investment opportunity has an EAR

    Pullman Inc. Risks Involved With Growth Into Other Countries

    Pullman, Inc., a U. S. firm, has been highly profitable, but prefers not to pay out higher dividends because its shareholders want the funds to be reinvested. It plans for large growth in several less developed countries. Pullman would like to finance the growth with local debt in the host countries of concern to reduce its expo

    Financing Alternative Appropriate to Protect the Subsidiary

    Drexel Co. is a U.S. based company that is establishing a project in a politically unstable country. It is considering two possible sources of financing. Either the parent could provide most of the financing, or the subsidiary could be supported by local loans from banks in that country. Which financing alternative is more appro

    Important Information about Optimal Financing

    Wizard, Inc., has a subsidiary in a country where the government allows only a small amount of earnings to be remitted to the United States each year. Should Wizard finance the subsidiary with debt financing by the parent, equity financing by the parent, or financing by local banks in the foreign country?

    Financial Management

    Provide computation and formulas on how to calculate the following: 1. Hughes Technology has had net income of $450,000 in the current fiscal year. there are 100,000 shares of common stock outstanding with convertible bonds, which have a total face value of $1.2 million. the $1.2 million is represented by 1,200 different $1,0

    Description of constant growth stock

    The last dividend paid by xyz company was 1.00. XYZ growth rate is expected to be a constant 5%. XYZ's required rate of return on equity(ks) is 10%. What is the current price of XYZ's Common Stock? XYZ Corp. budgeted mnthly sales are 4500. 40% of it customers pay in the first month and take 1% discount. the remaining 60% pay

    Finance

    West corporation has 50000, which it plans to invest in the marketable sercurities. the corporation is choosing between the following three eually ricl sercurities:alachua county tax free municipal bonds yielding 6 percent; Exxon yielding 9.5 percent; GM preferred stock with dividend yield of 9 percent. West's corporate rate is

    NPV, IRR, and payback period

    Ch. 9: Problem A5 (p. 236) (Investment criteria) Compute the NPV, IRR, and payback period for the following investment. The cost of capital is 10%. Year 0 1 2 3 Cash flow −200,000 100,000 100,000 150,000

    Finding NPVs with differing project risks

    (Finding NPVs with differing project risks) Assume the expected return on the market portfolio is 15% and the riskless return is 9%. Also assume that all of the projects listed here are perpetuities with annual cash flows (in $) and betas as indicated. None of the projects requires or precludes any of the other projects, and eac