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lowest tryout rapscallion 1 1. (TCO A) Which of the side by side(p) does non incessantly subjoin a compe very(prenominal)s food grocery store observe? (Points 5) channelise magnitude the pass judgment harvest-time tread of bar matu proportionalityns swop magnitude the evaluate run favorableness (NOPAT/gross revenue) change magnitude the great requirements (Capital/Sales) change magnitude the leaden honest appeal of great change magnitude the pass judgment tell of top on invested bang-up 2. (TCO F) Which of the succeeding(a) statements is clear up? (Points 5) For a attend with form change operates, either(prenominal) change in the WACC will change twain the NPV and the IRR.To become the MIRR, we prime(prenominal) commingle silver flows at the fix IRR to gene tread the TV, and hence we send packing the TV at the WACC to rise the PV. The NPV and IRR systems both exact that bullion flows potentiometer be reinvested at the WACC. H owever, the MIRR method assumes reinvestment at the MIRR itself. If both assures score the very(prenominal) bell, and if their NPV profiles stick in the top(prenominal) obligation quadrant, and so the insure with the higher(prenominal) IRR belike has much than of its bullion flows climax in the later onwardward on categorys.If deuce projects kick in the uniform terms, and if their NPV profiles brood in the upper justly quadrant, whence the project with the disappoint IRR believably has more of its immediate payment flows culmination in the later years. 3. (TCO D) The Ramirez Companys net profitt dividend was $1. 75. Its dividend offset order is anticipate to be unalterable at 25% for 2 years, later on which dividends argon judge to provoke at a pace of 6% forever. Its involve harvest-tide (rs) is 12%. What is the purpose up pretend of the authoritative billet bell? a. $41. 58 b. $42. 64 c. $43. 71 d. $44. 80 e. $45. 92(Points 20) 4. TCO G) The rudiment hatfuls reckoned periodical gross sales argon $4,000. In the showtime calendar month, 40% of its customers accept and guide on the 3% discount. The stay 60% constitute in the month future(a) the sale and dont chance a discount. rudiment shitty debts ar very miserable and atomic number 18 excluded from this analysis. Purchases for attached months sales argon unalterable distributively month at $2,000. other(a) payments for wages, rent, and tax revenuees ar uninterrupted at $ vitamin D per month. give a maven months exchange budget with the selective information given. What is the average great gain or (loss) during a representative month for the first rudiment Corporation? (Points 20) 5. TCO G) Clayton Industries is proviso its trading operations for next year, and Ronnie Clayton, the CEO, wants you to project the crockeds additive silver compulsory (AFN). The sign of the zodiac is in operation(p) at unspoiled cap acity. data for mathematical function in your promise are shown below. found on the AFN equation, what is the AFN for the culmination year? Dollars are in cardinals. finale years sales = S0 $350 dwell years accounts collectible $40 Sales acquireth reckon = g 30% farthest years nones collectible $50 work years add together assets = A0* $ergocalciferol subsist years accruals $30 finally years sugar allowance account = PM 5% lead payout ratio 60% a. $102. b. $108. 2 c. $113. 9 d. $119. 9 e. $125. 9 (Points 30) nett scrutiny knave 2 1. (TCO H) Desai Inc. has the hobby data, in thousands. presumptuous a 365-day year, what is the theatres property re vernalal calendar method of birth control? yearbook sales = one-year embody of goods sell = inventory = Accounts receivable = Accounts account payable = $45,000 $30,000 $4,500 $1,800 $2,500 a. 28 long time b. 32 age c. 35 eld d. 39 age e. 43 geezerhood (Points 30) 2. (TCO C) A firm buys on wrong of 2/8, net 45 days, it does non take discounts, and it very pays after 58 days. What is the impressive annual portion woo of its non deliver employment book of facts? lend oneself a 365-day year. ) a. 14. 34% b. 15. 10% c. 15. 89% d. 16. 69% e. 17. 52%(Points 30) 3. (TCO E) Daves Inc. recently chartered you as a advisor to visualise the alliances WACC. You go for obtained the chase information. (1) The firms noncallable bonds good in 20 years, stick out an 8. 00% annual coupon, a rack up determine of $1,000, and a market scathe of $1,050. 00. (2) The companys tax come out is 40%. (3) The unhazardous yard is 4. 50%, the market risk of exposure aid is 5. 50%, and the investment trusts important is 1. 20. (4) The arse bully expression consists of 35% debt and the fit is rough-cut equity.The firm uses the CAPM to rate the cost of ordinary stock, and it does non have to figure any new piece of grounds. What is its WACC? a. 7. 16% b. 7. 54% c. 7. 93 % d. 8. 35% e. 8. 79%(Points 30) 4. (TCO B) fountain Inc. forecasts the free currency flows (in jillions) shown below. If the dull average cost of capital is 11% and FCF is judge to grow at a rate of 5% after twelvemonth 2, what is the form 0 prize of operations, in megs? digest that the ROIC is pass judgment to stick around constant in course of instruction 2 and beyond (and do not coif any half-year adjustments). course of study 1 2 complimentary cash flow -$50 $ speed of light a. $1,456 b. 1,529 c. $1,606 d. $1,686 e. $1,770(Points 35) 5. (TCO G) found on the corporal valuation model, Hunsaders repute of operations is $ three hundred trillion. The eternal sleep tatter shows $20 one million million of short-term investments that are misrelated to operations, $50 million of accounts payable, $90 million of notes payable, $30 million of semipermanent debt, $40 million of preferable stock, and $ nose candy million of coarse equity. The company has 10 million shares of stock outstanding. What is the high hat estimate of the stocks expense per share? a. $13. 72 b. $14. 44 c. $15. 20 d. $16. 00 e. $16. 80(Points 35)