All questions must be done utilizing microsoft excel and the attachment template with answers must be sent back to me.

1. QUESTION 1 Identify a use of cash from below. Choose only one. decrease in accounts payable decrease in fixed assets increase in long-term debt decrease in inventory decrease in accounts receivable 1 points QUESTION 2 1. Identify which of the following will decrease the cash cycle. Choose only one. increase in inventory period increase in accounts receivable turnover ratio increase in accounts receivable period decrease in accounts payable period increase in accounts payable turnover ratio 1 points QUESTION 3 1. You are given the following quotes: U.S. dollar/Mexican Peso = 0.0605 U.S. dollar/Singapore Dollar = 0.756 U.S dollar/Chinese Yuan = 0.1306 What is the Mexican Peso/Singapore Dollar cross rate? Enter your answer rounded off to FOUR decimal points. 1 points QUESTION 4 1. ABC Company has annual sales of $767,187. The cost of goods sold are $392,220. The firm has an accounts receivable balance of $20,236 and an accounts payable balance of $18,911. 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 5 1. The spot rate for the pound is 0.6439 = $1 and the spot rate for the Canadian dollar is C$1.2869 = $1. What is the /C$ cross rate? Enter your answer rounded off to FOUR decimal points. Do not enter any currency sign in the answer box. 1 points QUESTION 6 1. The terms of the sale were 1/19, net 25. What is the effective annual rate of interest? Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. 1 points QUESTION 7 1. ABC's last dividend paid was $6.77, its required return is 16%, its growth rate is 4%. What is ABC's expected stock price in 6 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 8 ABC Company has the following projected sales: 1. Mont Sales $ h April May June July 28,066 33,123 24,178 48,729 2. ABC collects 69 percent of its sales in the month of sale, 22 percent in the month following the month of sale, and another 2 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? 3. 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 9 1. ABC Company's last dividend was $1.4. The dividend growth rate is expected to be constant at 7% for 3 years, after which dividends are expected to grow at a rate of 4% forever. The firm's required return (rs) is 17%. What is its current stock price (i.e. solve for Po)? 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 10 1. ABC Company writes 310 checks a day for an average amount of $675 each. These checks generally clear the bank in 2 days. In addition, the firm generally receives an average of $162,607 a day in checks that are deposited immediately. Deposited funds are available in 1 days. What is the firm's net float? 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 11 1. A company sells 132,239 units per year. Fixed costs per order are $147 and carrying cost is $35 per unit per year. What is the Economic Order Quantity? Enter your answer rounded off to two decimal points. 1 points QUESTION 12 1. ABC Inc. just paid its first annual dividend of $1.88 a share. The firm plans to increase the dividend by 5.1 percent per year indefinitely. What is the firm's cost of equity if the current stock price is $61.93 a share? Enter your answer in percentages rounded off to two decimal points. 1 points QUESTION 13 1. ABC's next dividend is expected to be $2.02, its required return is 21%, its growth rate is 6%. What is ABC's expected stock price in 7 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 14 1. ABC's credit terms are 1/6, net 41. Based on experience, 64 percent of all customers take the discount. ABC has annual credit sales of $184,738. 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 15 1. Suppose that today's stock price is $74.93. If the required rate on equity is 20.2% and the growth rate is 6%, compute the expected dividend (i.e. compute D1) 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 16 1. At the start of the day, the ledger balance and the available balance for ABC Company was $9,769. During the day, the firm wrote two checks in the amounts of $1,978 and $1,360. The firm deposited two checks: one check for $1,434 and another check for $1,431. What is the amount of the collection float as of the end of the day? 1 points QUESTION 17 1. The exchange rates in New York for $1 are C$1.124 and 0.6227. A dealer is offering the following quote: C$1 will buy 0.8966. What is the profit you can earn on $21,926 using triangle arbitrage? Enter your answer round off two two decimal points. 1 points QUESTION 18 1. ABC Company has an average collection period of 42 days and factors all of its receivables immediately at a 2.1 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 19 1. ABC Corp. currently has an inventory turnover of 11, a payables turnover of 7.53, and a receivables turnover of 10.71. How many days are in the cash cycle? Enter your answer rounded off to two decimal points. 1 points QUESTION 20 Annual demand 1. 144,342 units Carrying costs $2.21 per unit Fixed Costs per order $4.9 Number of orders 36 What are the total costs? Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. 1 points QUESTION 21 ABC Company has the following projected sales: 1. Mont Sales $ h Jan Feb Mar Apr 31,680 26,920 23,444 49,771 2. 22% of the sales are on cash and the remainder are on credit. Out of the credit sales, 53% are collected in the first month after sale, 24% 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? 3. 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 22 1. What is the group of underwriters called who share both the risks and the marketing responsibilities for a securities offering? Choose only one. Syndicate Underwriting Cartel Firm Commitment Group Dutch Auction Group Venture Capitalists 1 points QUESTION 23 1. ABC Company has annual sales of $179,997 and cost of goods sold of $54,037. The average accounts receivable balance is $23,330. How many days on average does it take the firm to collect its accounts receivable? That is, what is the AR Period? Assume 365 days. Enter your answer rounded off to two decimal points 1 points QUESTION 24 1. The common stock of ABC Industries is valued at $29.13 a share. The company increases their dividend by 3.3 percent annually and expects their next dividend to be $3.53. What is the required rate of return on this stock? Note: Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. For example, if your answer is 0.12345 then enter as 12.35 in the answer box. 1 points QUESTION 25 1. A company sells 124,330 units per year. Fixed costs per order are $121 and carrying cost is $27 per unit per year. If management uses an EOQ model, how many orders will it place per year? Enter your answer rounded off to two decimal points. 1 points QUESTION 26 1. ABC Company sells 2,412 chairs a year at an average price per chair of $182. The carrying cost per unit is $22.78. The company orders 344 chairs at a time and has a fixed order cost of $113.3 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. Fo 1. QUESTION 1 Identify a use of cash from below. Choose only one. decrease in accounts payable decrease in fixed assets increase in long-term debt decrease in inventory decrease in accounts receivable 1 points QUESTION 2 1. Identify which of the following will decrease the cash cycle. Choose only one. increase in inventory period increase in accounts receivable turnover ratio increase in accounts receivable period decrease in accounts payable period increase in accounts payable turnover ratio 1 points QUESTION 3 1. You are given the following quotes: U.S. dollar/Mexican Peso = 0.0605 U.S. dollar/Singapore Dollar = 0.756 U.S dollar/Chinese Yuan = 0.1306 What is the Mexican Peso/Singapore Dollar cross rate? Enter your answer rounded off to FOUR decimal points. 1 points QUESTION 4 1. ABC Company has annual sales of $767,187. The cost of goods sold are $392,220. The firm has an accounts receivable balance of $20,236 and an accounts payable balance of $18,911. 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 5 1. The spot rate for the pound is 0.6439 = $1 and the spot rate for the Canadian dollar is C$1.2869 = $1. What is the /C$ cross rate? Enter your answer rounded off to FOUR decimal points. Do not enter any currency sign in the answer box. 1 points QUESTION 6 1. The terms of the sale were 1/19, net 25. What is the effective annual rate of interest? Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. 1 points QUESTION 7 1. ABC's last dividend paid was $6.77, its required return is 16%, its growth rate is 4%. What is ABC's expected stock price in 6 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 8 ABC Company has the following projected sales: 1. Mont Sales $ h April May June July 28,066 33,123 24,178 48,729 2. ABC collects 69 percent of its sales in the month of sale, 22 percent in the month following the month of sale, and another 2 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? 3. 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 9 1. ABC Company's last dividend was $1.4. The dividend growth rate is expected to be constant at 7% for 3 years, after which dividends are expected to grow at a rate of 4% forever. The firm's required return (rs) is 17%. What is its current stock price (i.e. solve for Po)? 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 10 1. ABC Company writes 310 checks a day for an average amount of $675 each. These checks generally clear the bank in 2 days. In addition, the firm generally receives an average of $162,607 a day in checks that are deposited immediately. Deposited funds are available in 1 days. What is the firm's net float? 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 11 1. A company sells 132,239 units per year. Fixed costs per order are $147 and carrying cost is $35 per unit per year. What is the Economic Order Quantity? Enter your answer rounded off to two decimal points. 1 points QUESTION 12 1. ABC Inc. just paid its first annual dividend of $1.88 a share. The firm plans to increase the dividend by 5.1 percent per year indefinitely. What is the firm's cost of equity if the current stock price is $61.93 a share? Enter your answer in percentages rounded off to two decimal points. 1 points QUESTION 13 1. ABC's next dividend is expected to be $2.02, its required return is 21%, its growth rate is 6%. What is ABC's expected stock price in 7 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 14 1. ABC's credit terms are 1/6, net 41. Based on experience, 64 percent of all customers take the discount. ABC has annual credit sales of $184,738. 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 15 1. Suppose that today's stock price is $74.93. If the required rate on equity is 20.2% and the growth rate is 6%, compute the expected dividend (i.e. compute D1) 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 16 1. At the start of the day, the ledger balance and the available balance for ABC Company was $9,769. During the day, the firm wrote two checks in the amounts of $1,978 and $1,360. The firm deposited two checks: one check for $1,434 and another check for $1,431. What is the amount of the collection float as of the end of the day? 1 points QUESTION 17 1. The exchange rates in New York for $1 are C$1.124 and 0.6227. A dealer is offering the following quote: C$1 will buy 0.8966. What is the profit you can earn on $21,926 using triangle arbitrage? Enter your answer round off two two decimal points. 1 points QUESTION 18 1. ABC Company has an average collection period of 42 days and factors all of its receivables immediately at a 2.1 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 19 1. ABC Corp. currently has an inventory turnover of 11, a payables turnover of 7.53, and a receivables turnover of 10.71. How many days are in the cash cycle? Enter your answer rounded off to two decimal points. 1 points QUESTION 20 Annual demand 1. 144,342 units Carrying costs $2.21 per unit Fixed Costs per order $4.9 Number of orders 36 What are the total costs? Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. 1 points QUESTION 21 ABC Company has the following projected sales: 1. Mont Sales $ h Jan Feb Mar Apr 31,680 26,920 23,444 49,771 2. 22% of the sales are on cash and the remainder are on credit. Out of the credit sales, 53% are collected in the first month after sale, 24% 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? 3. 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 22 1. What is the group of underwriters called who share both the risks and the marketing responsibilities for a securities offering? Choose only one. Syndicate Underwriting Cartel Firm Commitment Group Dutch Auction Group Venture Capitalists 1 points QUESTION 23 1. ABC Company has annual sales of $179,997 and cost of goods sold of $54,037. The average accounts receivable balance is $23,330. How many days on average does it take the firm to collect its accounts receivable? That is, what is the AR Period? Assume 365 days. Enter your answer rounded off to two decimal points 1 points QUESTION 24 1. The common stock of ABC Industries is valued at $29.13 a share. The company increases their dividend by 3.3 percent annually and expects their next dividend to be $3.53. What is the required rate of return on this stock? Note: Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. For example, if your answer is 0.12345 then enter as 12.35 in the answer box. 1 points QUESTION 25 1. A company sells 124,330 units per year. Fixed costs per order are $121 and carrying cost is $27 per unit per year. If management uses an EOQ model, how many orders will it place per year? Enter your answer rounded off to two decimal points. 1 points QUESTION 26 1. ABC Company sells 2,412 chairs a year at an average price per chair of $182. The carrying cost per unit is $22.78. The company orders 344 chairs at a time and has a fixed order cost of $113.3 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 1. Which one of the following terms is defined as an underwriting for which the underwriters assume full responsibility for any unsold shares? Private placement Best efforts underwriting Rights offer Initial public offering Firm commitment underwriting 1 points QUESTION 28 1. ABC Company currently has a cash cycle of 230 days. The firm is considering making some changes as follows: (i) decrease the inventory period by 26 days, (ii) decrease the accounts receivable period by 21 days, and (iii) decrease the accounts payable period by 69 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? r example, if your answer is 12.345 then enter as 12.35 in the answer box. 1 points QUESTION 27 1. Which one of the following terms is defined as an underwriting for which the underwriters assume full responsibility for any unsold shares? Private placement Best efforts underwriting Rights offer Initial public offering Firm commitment underwriting 1 points QUESTION 28 1. ABC Company currently has a cash cycle of 230 days. The firm is considering making some changes as follows: (i) decrease the inventory period by 26 days, (ii) decrease the accounts receivable period by 21 days, and (iii) decrease the accounts payable period by 69 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? 1. QUESTION 1 Identify a use of cash from below. Choose only one. decrease in accounts payable decrease in fixed assets increase in long-term debt decrease in inventory decrease in accounts receivable 1 points QUESTION 2 1. Identify which of the following will decrease the cash cycle. Choose only one. increase in inventory period increase in accounts receivable turnover ratio increase in accounts receivable period decrease in accounts payable period increase in accounts payable turnover ratio 1 points QUESTION 3 1. You are given the following quotes: U.S. dollar/Mexican Peso = 0.0605 U.S. dollar/Singapore Dollar = 0.756 U.S dollar/Chinese Yuan = 0.1306 What is the Mexican Peso/Singapore Dollar cross rate? Enter your answer rounded off to FOUR decimal points. 1 points QUESTION 4 1. ABC Company has annual sales of $767,187. The cost of goods sold are $392,220. The firm has an accounts receivable balance of $20,236 and an accounts payable balance of $18,911. 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 5 1. The spot rate for the pound is 0.6439 = $1 and the spot rate for the Canadian dollar is C$1.2869 = $1. What is the /C$ cross rate? Enter your answer rounded off to FOUR decimal points. Do not enter any currency sign in the answer box. 1 points QUESTION 6 1. The terms of the sale were 1/19, net 25. What is the effective annual rate of interest? Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. 1 points QUESTION 7 1. ABC's last dividend paid was $6.77, its required return is 16%, its growth rate is 4%. What is ABC's expected stock price in 6 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 8 ABC Company has the following projected sales: 1. Mont Sales $ h April May June July 28,066 33,123 24,178 48,729 2. ABC collects 69 percent of its sales in the month of sale, 22 percent in the month following the month of sale, and another 2 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? 3. 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 9 1. ABC Company's last dividend was $1.4. The dividend growth rate is expected to be constant at 7% for 3 years, after which dividends are expected to grow at a rate of 4% forever. The firm's required return (rs) is 17%. What is its current stock price (i.e. solve for Po)? 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 10 1. ABC Company writes 310 checks a day for an average amount of $675 each. These checks generally clear the bank in 2 days. In addition, the firm generally receives an average of $162,607 a day in checks that are deposited immediately. Deposited funds are available in 1 days. What is the firm's net float? 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 11 1. A company sells 132,239 units per year. Fixed costs per order are $147 and carrying cost is $35 per unit per year. What is the Economic Order Quantity? Enter your answer rounded off to two decimal points. 1 points QUESTION 12 1. ABC Inc. just paid its first annual dividend of $1.88 a share. The firm plans to increase the dividend by 5.1 percent per year indefinitely. What is the firm's cost of equity if the current stock price is $61.93 a share? Enter your answer in percentages rounded off to two decimal points. 1 points QUESTION 13 1. ABC's next dividend is expected to be $2.02, its required return is 21%, its growth rate is 6%. What is ABC's expected stock price in 7 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 14 1. ABC's credit terms are 1/6, net 41. Based on experience, 64 percent of all customers take the discount. ABC has annual credit sales of $184,738. 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 15 1. Suppose that today's stock price is $74.93. If the required rate on equity is 20.2% and the growth rate is 6%, compute the expected dividend (i.e. compute D1) 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 16 1. At the start of the day, the ledger balance and the available balance for ABC Company was $9,769. During the day, the firm wrote two checks in the amounts of $1,978 and $1,360. The firm deposited two checks: one check for $1,434 and another check for $1,431. What is the amount of the collection float as of the end of the day? 1 points QUESTION 17 1. The exchange rates in New York for $1 are C$1.124 and 0.6227. A dealer is offering the following quote: C$1 will buy 0.8966. What is the profit you can earn on $21,926 using triangle arbitrage? Enter your answer round off two two decimal points. 1 points QUESTION 18 1. ABC Company has an average collection period of 42 days and factors all of its receivables immediately at a 2.1 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 19 1. ABC Corp. currently has an inventory turnover of 11, a payables turnover of 7.53, and a receivables turnover of 10.71. How many days are in the cash cycle? Enter your answer rounded off to two decimal points. 1 points QUESTION 20 Annual demand 1. 144,342 units Carrying costs $2.21 per unit Fixed Costs per order $4.9 Number of orders 36 What are the total costs? Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. 1 points QUESTION 21 ABC Company has the following projected sales: 1. Mont Sales $ h Jan Feb Mar Apr 31,680 26,920 23,444 49,771 2. 22% of the sales are on cash and the remainder are on credit. Out of the credit sales, 53% are collected in the first month after sale, 24% 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? 3. 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 22 1. What is the group of underwriters called who share both the risks and the marketing responsibilities for a securities offering? Choose only one. Syndicate Underwriting Cartel Firm Commitment Group Dutch Auction Group Venture Capitalists 1 points QUESTION 23 1. ABC Company has annual sales of $179,997 and cost of goods sold of $54,037. The average accounts receivable balance is $23,330. How many days on average does it take the firm to collect its accounts receivable? That is, what is the AR Period? Assume 365 days. Enter your answer rounded off to two decimal points 1 points QUESTION 24 1. The common stock of ABC Industries is valued at $29.13 a share. The company increases their dividend by 3.3 percent annually and expects their next dividend to be $3.53. What is the required rate of return on this stock? Note: Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. For example, if your answer is 0.12345 then enter as 12.35 in the answer box. 1 points QUESTION 25 1. A company sells 124,330 units per year. Fixed costs per order are $121 and carrying cost is $27 per unit per year. If management uses an EOQ model, how many orders will it place per year? Enter your answer rounded off to two decimal points. 1 points QUESTION 26 1. ABC Company sells 2,412 chairs a year at an average price per chair of $182. The carrying cost per unit is $22.78. The company orders 344 chairs at a time and has a fixed order cost of $113.3 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. Fo 1 points QUESTION 27 1. Which one of the following terms is defined as an underwriting for which the underwriters assume full responsibility for any unsold shares? Private placement Best efforts underwriting Rights offer Initial public offering Firm commitment underwriting 1 points QUESTION 28 1. ABC Company currently has a cash cycle of 230 days. The firm is considering making some changes as follows: (i) decrease the inventory period by 26 days, (ii) decrease the accounts receivable period by 21 days, and (iii) decrease the accounts payable period by 69 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? r example, if your answer is 12.345 then enter as 12.35 in the answer box. 1 points 1. QUESTION 1 Identify a use of cash from below. Choose only one. decrease in accounts payable decrease in fixed assets increase in long-term debt decrease in inventory decrease in accounts receivable 1 points QUESTION 2 1. Identify which of the following will decrease the cash cycle. Choose only one. increase in inventory period increase in accounts receivable turnover ratio increase in accounts receivable period decrease in accounts payable period increase in accounts payable turnover ratio 1 points QUESTION 3 1. You are given the following quotes: U.S. dollar/Mexican Peso = 0.0605 U.S. dollar/Singapore Dollar = 0.756 U.S dollar/Chinese Yuan = 0.1306 What is the Mexican Peso/Singapore Dollar cross rate? Enter your answer rounded off to FOUR decimal points. 1 points QUESTION 4 1. ABC Company has annual sales of $767,187. The cost of goods sold are $392,220. The firm has an accounts receivable balance of $20,236 and an accounts payable balance of $18,911. 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 5 1. The spot rate for the pound is 0.6439 = $1 and the spot rate for the Canadian dollar is C$1.2869 = $1. What is the /C$ cross rate? Enter your answer rounded off to FOUR decimal points. Do not enter any currency sign in the answer box. 1 points QUESTION 6 1. The terms of the sale were 1/19, net 25. What is the effective annual rate of interest? Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. 1 points QUESTION 7 1. ABC's last dividend paid was $6.77, its required return is 16%, its growth rate is 4%. What is ABC's expected stock price in 6 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 8 ABC Company has the following projected sales: 1. Mont Sales $ h April May June July 28,066 33,123 24,178 48,729 2. ABC collects 69 percent of its sales in the month of sale, 22 percent in the month following the month of sale, and another 2 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? 3. 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 9 1. ABC Company's last dividend was $1.4. The dividend growth rate is expected to be constant at 7% for 3 years, after which dividends are expected to grow at a rate of 4% forever. The firm's required return (rs) is 17%. What is its current stock price (i.e. solve for Po)? 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 10 1. ABC Company writes 310 checks a day for an average amount of $675 each. These checks generally clear the bank in 2 days. In addition, the firm generally receives an average of $162,607 a day in checks that are deposited immediately. Deposited funds are available in 1 days. What is the firm's net float? 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 11 1. A company sells 132,239 units per year. Fixed costs per order are $147 and carrying cost is $35 per unit per year. What is the Economic Order Quantity? Enter your answer rounded off to two decimal points. 1 points QUESTION 12 1. ABC Inc. just paid its first annual dividend of $1.88 a share. The firm plans to increase the dividend by 5.1 percent per year indefinitely. What is the firm's cost of equity if the current stock price is $61.93 a share? Enter your answer in percentages rounded off to two decimal points. 1 points QUESTION 13 1. ABC's next dividend is expected to be $2.02, its required return is 21%, its growth rate is 6%. What is ABC's expected stock price in 7 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 14 1. ABC's credit terms are 1/6, net 41. Based on experience, 64 percent of all customers take the discount. ABC has annual credit sales of $184,738. 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 15 1. Suppose that today's stock price is $74.93. If the required rate on equity is 20.2% and the growth rate is 6%, compute the expected dividend (i.e. compute D1) 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 16 1. At the start of the day, the ledger balance and the available balance for ABC Company was $9,769. During the day, the firm wrote two checks in the amounts of $1,978 and $1,360. The firm deposited two checks: one check for $1,434 and another check for $1,431. What is the amount of the collection float as of the end of the day? 1 points QUESTION 17 1. The exchange rates in New York for $1 are C$1.124 and 0.6227. A dealer is offering the following quote: C$1 will buy 0.8966. What is the profit you can earn on $21,926 using triangle arbitrage? Enter your answer round off two two decimal points. 1 points QUESTION 18 1. ABC Company has an average collection period of 42 days and factors all of its receivables immediately at a 2.1 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 19 1. ABC Corp. currently has an inventory turnover of 11, a payables turnover of 7.53, and a receivables turnover of 10.71. How many days are in the cash cycle? Enter your answer rounded off to two decimal points. 1 points QUESTION 20 Annual demand 1. 144,342 units Carrying costs $2.21 per unit Fixed Costs per order $4.9 Number of orders 36 What are the total costs? Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. 1 points QUESTION 21 ABC Company has the following projected sales: 1. Mont Sales $ h Jan Feb Mar Apr 31,680 26,920 23,444 49,771 2. 22% of the sales are on cash and the remainder are on credit. Out of the credit sales, 53% are collected in the first month after sale, 24% 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? 3. 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 22 1. What is the group of underwriters called who share both the risks and the marketing responsibilities for a securities offering? Choose only one. Syndicate Underwriting Cartel Firm Commitment Group Dutch Auction Group Venture Capitalists 1 points QUESTION 23 1. ABC Company has annual sales of $179,997 and cost of goods sold of $54,037. The average accounts receivable balance is $23,330. How many days on average does it take the firm to collect its accounts receivable? That is, what is the AR Period? Assume 365 days. Enter your answer rounded off to two decimal points 1 points QUESTION 24 1. The common stock of ABC Industries is valued at $29.13 a share. The company increases their dividend by 3.3 percent annually and expects their next dividend to be $3.53. What is the required rate of return on this stock? Note: Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. For example, if your answer is 0.12345 then enter as 12.35 in the answer box. 1 points QUESTION 25 1. A company sells 124,330 units per year. Fixed costs per order are $121 and carrying cost is $27 per unit per year. If management uses an EOQ model, how many orders will it place per year? Enter your answer rounded off to two decimal points. 1 points QUESTION 26 1. ABC Company sells 2,412 chairs a year at an average price per chair of $182. The carrying cost per unit is $22.78. The company orders 344 chairs at a time and has a fixed order cost of $113.3 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. Fo 1 points QUESTION 27 1. Which one of the following terms is defined as an underwriting for which the underwriters assume full responsibility for any unsold shares? Private placement Best efforts underwriting Rights offer Initial public offering Firm commitment underwriting 1 points QUESTION 28 1. ABC Company currently has a cash cycle of 230 days. The firm is considering making some changes as follows: (i) decrease the inventory period by 26 days, (ii) decrease the accounts receivable period by 21 days, and (iii) decrease the accounts payable period by 69 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? r example, if your answer is 12.345 then enter as 12.35 in the answer box. 1 points