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Finance : Stock split and ROE

Question 1.Rooney Inc. recently completed a 3-for-2 stock split. Prior to the split, its stock price was $90 per share. The firm's total market value was unchanged by the split. What was the price of the company's stock following the stock split? 2.Firms A and B are identical except for their level of debt and the interest

Comprehensive Annual Financial Report (CAFR)

I need your help to review the Comprehensive Annual Financial Report. http://www.sjredevelopment.org/Finance/CAFR2008.pdf 1. Select one of the more recently established (and larger) capital projects funds (a major fund, if there is one). a. From where did the fund receive most of its resources? b. Did the city acq

Financial statements of Southwest Airlines

Review the financial statements of Southwest Airlines in its latest annual report. (http://www.southwest.com/investor_relations/annual_reports.html). Then answer questions as follow. ***Please provide with each answer which documents you used so I can review them to absorb the information *** 1) What important informatio

Designing a shaft support using decision tree

Please help with the following problem. Provide the answer in an Excel sheet. Designing a shaft support has two options: using a pair of single row ball (SRB) bearing with a purchasing cost of $25, or using a pair of cylindrical roller bearing (CRB) with a purchasing cost $70. If selecting SRB, it will fail (within a specifi

Read the following newswire on the US Treasury Secretary's proposed sweeping changes in the US financial institutions of the Wall Street as its first significant overhaul since the Great Depression of 1930s

4) Read the following newswire on the US Treasury Secretary's proposed sweeping changes in the US financial institutions of the Wall Street as its first significant overhaul since the Great Depression of 1930s. http://money.cnn.com/2008/03/31/news/economy/paulson_regulation/index.htm?postversion=2008033115 As a part of the

Financial break even quantity

Consider a project with the following data: accounting break-even quantity = 30,000 units; cash break-even quantity = 16,500 units;life = 6 years; fixed costs = $210,000; variable costs = $29 per unit; required return = 14 percent. Ignoring the effect of taxes, the financial break-even quantity is units. (Round your answer to

Book value/market value

Amigo Software, Inc has total assets of $800,000 current liabilities of $150,000, and long-term liabilities of $120,000. There is $65,000 in preferred stock outstanding. Thirty thousand shares of common stock have been issued. a) Compare book value (net worth) per share b) If there is $48,000 in earnings available to co

Margin Call

You purchased 100 shares of KLM at $40 a share by depositing the minimum amount of margin. If the initial margin requirement was 50% and the maintenance margin requirement is 30% you will get a margin call if KLM's price falls to: $12 $20 $29 $32

Present value

Rita Gonzales won the $60 million lottery. She is to receive $1 million a year for the next 50 years plus an additional lump sum payment of $10 million after 50 years. The discount rate is 10%.What is the current value of her winnings?

Macroeconomic metrics and micreconomic basics for corporate expansion

While at lunch, you and the company's chief financial officer (CFO) begin to discuss opportunities to expand in the U.S. Discuss the opportunities to expand in the U.S., what it would take, and the potential hurdles the firm would have to overcome. Be sure to identify specific retail companies that could potentially sell CPI's p

Pickard and Associates

Please provide answers to the following: The following selected information is taken from the records of Pickard and Associates: Accounts payable = $143,000 Accounts receivable = 95,000 Advertising expense = 14,500 Cash = 63,000 Supplies expense = 31,500 Rent expense = 12,000 Utilities expense = 2,500 Income taxes (

Call options

The book we are using does not explain short and long positions at all. Could someone explain what these mean and how to answer this question? Which one of the following statements about the value of a call option at expiration is false? a. A short position in a call option will result in a loss if the stock price exceeds t

Bankruptcy

A. What is the ratio of Chapter 7 to Chapter 11 filings for businesses? b. What is the typical time span for filing for chapter 11, confirmation, and successful completion of the reorganization plan? c. What are the most common reasons that force an individual to file for bankruptcy? d. What kind of individual debts may

Payback, Net present value, and depreciation tax shield

1)Calculate the payback for a project that costs $1,000 and is expected to provide cash inflows of $400 per year for the next three years. If the required payback is 3 years, should the firm accept the project? 2)Calculate the net present value for a project that costs $1,000 and is expected to provide cash inflows of $400 p

Debtor-Creditor Relationships

Debtor-Creditor Relationships. Using the Internet, locate an article specifically related to debtor-creditor relationships. Prepare 400-650-Word review of the article. Be sure to properly cite and reference the article in your review. Be sure to properly cite and reference the article in your review. Be prepared to discus

Firm Value and Financial Leverage

1) Firm value is calculated by adding expected cash flow to the firm's cost of capital under each capital structure. True or False. 2) The degree of financial leverage measures the sensitivity of_______ to changes in ________. a) net sale, EBIT. b) EBIT, net sales c) EBIT, EPS. d) EPS,EBIT. 3) Explain how div

Internal Rate of Return

1) What is the internal rate of return (IRR) for a project whose intitial after tax cost is $5,000,000 and it is expected to provide after tax operating cash flows of ($1,800,000) in year 1, $2,900,000 in year 2, $2,700,000 in year 3, and $2,300,000 in year 4 ? 2) A firm is evaluating a proposal that has an initial investment

Return on assets using Dupont Equation

Please help with the following problems. 1) What would be the return on total assets of a firm if net income is $50,000 , total sales are $100,000 , and total assets are $175,000 ? 2) If the total assets turnover of firm is 1.5 , total assets are $500,000 , and net income is $50,000 , what is the margin ? 3) Assu

Personal financial planning

In what areas of personal financial planning are the concepts of (a)future value (b) present value (c) ordinary annuities useful . Kindly explain and give a few examples if possible.

Article Review - e-business and intellectual property

Using the Internet, locate an article specifically related to e-business and intellectual property. And prepare a 350-400-word review of the article. Your review should assess the different types of and legal protections for intellectual property. Be sure to analyze the legal issues of e-business to include intellectual property