15 The exchange rates in New York for $1 are C$1 1764 and 0 7467 A dealer is offering the following quote C$1 will buy 0 8649 What is the profit you can earn on $24,829 using triangle arbitrage Enter your answer round off two two decimal points 1 points QUESTION 16 ABC Company has annual sales of $788,014 The cost of goods sold are $375,540 The firm has an accounts receivable balance of $8,192 and an accounts payable balance of $31,344 How many days does it take the firm to pay its suppliers Assume 365 days Enter your answer rounded off to two decimal points 1 points QUESTION 17 ABC Company has an average collection period of 48 days and factors all of its receivables immediately at a 1 4 percent discount Assume all accounts are collected in full What is the firm's effective cost of borrowing Enter your answer in percentages rounded off to two decimal points Do not enter in the answer box 1 points QUESTION 18 ABC Company has the following projected sales Month Sales $ April 36,715 May 10,918 June 12,354 July 38,107 ABC collects 57 percent of its sales in the month of sale, 24 percent in the month following the month of sale, and another 1 percent in the second month following the month of sale The remainder is bad debts and is not collected What is the amount of the July collections Enter your answer rounded off to two decimal points Do not enter $ or comma in the answer box For example, if your answer is $12 345 then enter as 12 35 in the answer box 1 points QUESTION 19 ABCs last dividend paid was $4 35, its required return is21 , itsgrowth rateis 6 What is ABC's expected stock price in14 years Note Enter your answer rounded off to two decimal points Do not enter $ or comma in the answer box For example, if your answer is $12 345 then enter as 12 35 in the answer box 1 points QUESTION 20 ABCs next dividend is expected to be $3 25, its required return is21 , itsgrowth rateis 6 What is ABC's expected stock price in16 years Note Enter your answer rounded off to two decimal points Do not enter $ or comma in the answer box For example, if your answer is $12 345 then enter as 12 35 in the answer box 1 points QUESTION 21 ABCs credit terms are 1 5, net 29 Based on experience, 57 percent of all customers take the discount ABC has annual credit sales of $172,134 What is the average investment in accounts receivable as shown on the balance sheet Enter your answer rounded off to two decimal points Do not enter $ or comma in the answer box 1 points QUESTION 22 ABC Company has the following projected sales Month Sales $ Jan 26,937 Feb 32,289 Mar 15,480 Apr 16,927 14 of the sales are on cash and the remainder are on credit Out of the credit sales, 50 are collected in the first month after sale, 27 are collected in the second month after sale, and the remainder are collected in the third month after sale What is the amount of the April collections Enter your answer rounded off to two decimal points Do not enter $ or comma in the answer box For example, if your answer is $12 345 then enter as 12 35 in the answer box 1 points QUESTION 23 ABC Corp currently has an inventory turnover of 8, a payables turnover of 6 64, and a receivables turnover of 10 61 How many days are in the cash cycle Enter your answer rounded off to two decimal points 1 points QUESTION 24 Identify which of the following will increase the operating cycle Choose only one increase in cash cycle increase in accounts payable turnover ratio decrease in accounts payable period decrease in accounts receivable turnover ratio decrease in inventory period 1 points QUESTION 25 Identify a use of cash from below Choose only one decrease in accounts payable decrease in fixed assets decrease in inventory increase in long term debt decrease in accounts receivable 1 points QUESTION 26 ABC Company sells 2,520 chairs a year at an average price per chair of $144 The carrying cost per unit is $38 23 The company orders 474 chairs at a time and has a fixed order cost of $112 6 per order The chairs are sold out before they are restocked What are the total shortage costs Enter your answer rounded off to two decimal points Do not enter comma or $ in the answer box For example, if your answer is 12 345 then enter as 12 35 in the answer box 1 points QUESTION 27 You are given the following quotes U S dollar Mexican Peso 0 0658 U S dollar Singapore Dollar 0 7081 U S dollar Chinese Yuan 0 1603 What is the Chinese Yuan Singapore Dollar cross rate Enter your answer rounded off to FOUR decimal points 1 points QUESTION 28 ABC Company currently has a cash cycle of 199 days The firm is considering making some changes as follows (i) increase the inventory period by 19 days, (ii) decrease the accounts receivable period by 78 days, and (iii) decrease the accounts payable period by 55 days Calculate the number of days in the new cash cycle after the above changes become effective That is, what is the new cash cycle

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15 The exchange rates in New York for $1 are C$1.1764 and 0.7467. A dealer is offering the following quote: C$1 will buy 0.8649. What

The exchange rates in New York for $1 are C$1.1764 and 0.7467. A dealer is offering the following quote: C$1 will buy 0.8649. What is the profit you can earn on $24,829 using triangle arbitrage?

Enter your answer round off two two decimal points.

1 points

QUESTION 16

ABC Company has annual sales of $788,014. The cost of goods sold are $375,540. The firm has an accounts receivable balance of $8,192 and an accounts payable balance of $31,344. How many days does it take the firm to pay its suppliers? Assume 365 days.

Enter your answer rounded off to two decimal points.

1 points

QUESTION 17

ABC Company has an average collection period of 48 days and factors all of its receivables immediately at a 1.4 percent discount. Assume all accounts are collected in full. What is the firm's effective cost of borrowing?

Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box.

1 points

QUESTION 18

ABC Company has the following projected sales:

Month Sales $

April 36,715

May 10,918

June 12,354

July 38,107

ABC collects 57 percent of its sales in the month of sale, 24 percent in the month following the month of sale, and another 1 percent in the second month following the month of sale. The remainder is bad debts and is not collected. What is the amount of the July collections?

Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

1 points

QUESTION 19

ABCs last dividend paid was $4.35, its required return is21%, itsgrowth rateis 6%.What is ABC's expected stock price in14 years?

Note: Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box.For example, if your answer is $12.345 then enter as 12.35 in the answer box.

1 points

QUESTION 20

ABCs next dividend is expected to be $3.25, its required return is21%, itsgrowth rateis 6%.What is ABC's expected stock price in16 years?

Note: Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box.For example, if your answer is $12.345 then enter as 12.35 in the answer box.

1 points

QUESTION 21

ABCs credit terms are 1/5, net 29. Based on experience, 57 percent of all customers take the discount. ABC has annual credit sales of $172,134. What is the average investment in accounts receivable as shown on the balance sheet?

Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box.

1 points

QUESTION 22

ABC Company has the following projected sales:

Month Sales $

Jan 26,937

Feb 32,289

Mar 15,480

Apr 16,927

14% of the sales are on cash and the remainder are on credit. Out of the credit sales, 50% are collected in the first month after sale, 27% are collected in the second month after sale, and the remainder are collected in the third month after sale. What is the amount of the April collections?

Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

1 points

QUESTION 23

ABC Corp. currently has an inventory turnover of 8, a payables turnover of 6.64, and a receivables turnover of 10.61. How many days are in the cash cycle?

Enter your answer rounded off to two decimal points.

1 points

QUESTION 24

Identify which of the following will increase the operating cycle. Choose only one.

increase in cash cycle

increase in accounts payable turnover ratio

decrease in accounts payable period

decrease in accounts receivable turnover ratio

decrease in inventory period

1 points

QUESTION 25

Identify a use of cash from below. Choose only one.

decrease in accounts payable

decrease in fixed assets

decrease in inventory

increase in long-term debt

decrease in accounts receivable

1 points

QUESTION 26

ABC Company sells 2,520 chairs a year at an average price per chair of $144. The carrying cost per unit is $38.23. The company orders 474 chairs at a time and has a fixed order cost of $112.6 per order. The chairs are sold out before they are restocked. What are the total shortage costs?

Enter your answer rounded off to two decimal points. Do not enter comma or $ in the answer box. For example, if your answer is 12.345 then enter as 12.35 in the answer box.

1 points

QUESTION 27

You are given the following quotes:

U.S. dollar/Mexican Peso = 0.0658

U.S. dollar/Singapore Dollar = 0.7081

U.S dollar/Chinese Yuan = 0.1603

What is the Chinese Yuan/Singapore Dollar cross rate?

Enter your answer rounded off to FOUR decimal points.

1 points

QUESTION 28

ABC Company currently has a cash cycle of 199 days. The firm is considering making some changes as follows: (i) increase the inventory period by 19 days, (ii) decrease the accounts receivable period by 78 days, and (iii) decrease the accounts payable period by 55 days. Calculate the number of days in the new cash cycle after the above changes become effective?That is, what is the new cash cycle?