A few finance questions are in the attached document.

#1 This financial information pertains to a company over a particular year: Rev COGS SGA Depreciation Interest Expenses Taxes Gross Profit Dividends EBITDA Change in Inventory NI Change in Acct. Pay. Operating CF Change in Acct. Rec. Investing CF Change in Cash Financing CF Change in Plant & Equipment Change in Debt 1,000 300 120 50 20 110 100 25 -15 20 0 130 60 a. Using this information, and using procedures outlined in our text book, calculate and report the following items: b. Also, using only one sentence, remark on additional financing requirements (if any). Answer [Use the next page to show your calculations] 1 #2 Consider a growing annuity that has a first payment of $100 and grows at 2% a year for 30 years Assume a discount rate of 5%. Scenario I II III The first payment starts at: End of the first year Beginning of the first year End of the third year Present Value [You may use the space on this page to show your calculations.] 2 #3 You are going to purchase a car that costs $50,000. A local bank offers to provide financing for this purchase at a rate of 6%. You are required to make 60 monthly payments on the loan. Depending on when the payments start, the monthly payment will differ. You are asked to consider the three scenarios below and solve for the payment amount in each scenario. Scenario I II III The first payment starts at: End of the first month Beginning of the first month End of the third month Monthly Payment Additional Question assuming Scenario I Assume that you have completed 10 payments, what is the remaining loan balance? [You may use the space on this page to show your calculations.] 3 Answer Question 1 Rev COGS Gross profit SGA EBITDA Depreciation Interest Expenses Taxes 1,000 300 700 120 580 50 20 110 Net Profit 400 Net Profit Add: Depreciation Cash Flow before working capital changes Change in Inventory Change in Acct. Pay. Change in Acct. Rec. Cash Flow from Operating Activities 400 50 450 -25 -15 -20 390 Change in Plant & Equipment Cash Flow from Investing Activities -130 Change in Debt Dividend paid Cash Flow from Financing Activities 60 -100 -130 -40 Question 2 Annual growth Discount rate Years 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 total 0.02 0.05 Scenario 1 Scenario 2 Scenario 3 95.24 100.00 92.52 97.14 89.87 94.37 86.38 87.31 91.67 83.92 84.81 89.05 81.52 82.39 86.51 79.19 80.03 84.04 76.93 77.75 81.63 74.73 75.53 79.30 72.59 73.37 77.04 70.52 71.27 74.84 68.50 69.24 72.70 66.55 67.26 70.62 64.65 65.34 68.60 62.80 63.47 66.64 61.00 61.66 64.74 59.26 59.89 62.89 57.57 58.18 61.09 55.92 56.52 59.35 54.33 54.91 57.65 52.77 53.34 56.00 51.27 51.81 54.40 49.80 50.33 52.85 48.38 48.89 51.34 47.00 47.50 49.87 45.65 46.14 48.45 44.35 44.82 47.06 43.08 43.54 45.72 41.85 42.30 44.41 40.66 41.09 43.14 39.49 1,936.31 2,033.12 1,680.65 Question 1 Rev COGS Gross profit SGA EBITDA Depreciation Interest Expenses Taxes 1,000 300 700 120 580 50 20 110 Net Profit 400 Net Profit Add: Depreciation Cash Flow before working capital changes Change in Inventory Change in Acct. Pay. Change in Acct. Rec. Cash Flow from Operating Activities 400 50 450 -25 -15 -20 390 Change in Plant & Equipment Cash Flow from Investing Activities -130 Change in Debt Dividend paid Cash Flow from Financing Activities 60 -100 -130 -40 Question 2 Annual growth Discount rate Years 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 total 0.02 0.05 Scenario 1 Scenario 2 Scenario 3 95.24 100.00 92.52 97.14 89.87 94.37 86.38 87.31 91.67 83.92 84.81 89.05 81.52 82.39 86.51 79.19 80.03 84.04 76.93 77.75 81.63 74.73 75.53 79.30 72.59 73.37 77.04 70.52 71.27 74.84 68.50 69.24 72.70 66.55 67.26 70.62 64.65 65.34 68.60 62.80 63.47 66.64 61.00 61.66 64.74 59.26 59.89 62.89 57.57 58.18 61.09 55.92 56.52 59.35 54.33 54.91 57.65 52.77 53.34 56.00 51.27 51.81 54.40 49.80 50.33 52.85 48.38 48.89 51.34 47.00 47.50 49.87 45.65 46.14 48.45 44.35 44.82 47.06 43.08 43.54 45.72 41.85 42.30 44.41 40.66 41.09 43.14 39.49 1,936.31 2,033.12 1,680.65