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Could someone help me with these 25 questions?????!!! THANK YOU!!! 1. These individuals examine a firm's financial strength for its debt holders. Auditors Investment analysts

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Could someone help me with these 25 questions?????!!! THANK YOU!!!

image text in transcribed 1. These individuals examine a firm's financial strength for its debt holders. Auditors Investment analysts Investment bankers Credit analysts 2. Which of the following is legal duty between two parties where one party must act in the interest of the other party? Agency theory Angel investor Fiduciary Investment banker 3. A metaphor used to illustrate how an individual pursuing his own interests also tends to promote the good of the community. Agency theory Angel investor Invisible hand Perks or perquisites 0 4. Income Statement Barnyard, Inc.'s 2008 income statement lists the following income and expenses: EBIT = $507,000, Interest expense = $53,000, and Taxes = $159,000. Barnyard's has no preferred stock outstanding and 270,000 shares of common stock outstanding. What are its the 2008 earnings per share? (Round your answer to 2 decimal places.) $1.09 $1.88 $1.29 $1.68 5. Statement of Retained Earnings Night Scapes, Corp. began the year 2008 with $10 million in retained earnings. The firm suffered a net loss of $2 million in 2008 and yet paid $2 million to its preferred stockholders and $1 million to its common stockholders. What is the year-end 2008 balance in retained earnings for Night Scapes? $9 million $8 million $5 million $15 million 6. Statement of Retained Earnings Triplette, Corp. began the year 2008 with -$5.04 million in retained earnings. The firm earned net income of $10.19 million in 2008 and paid $2.19 million to its preferred stockholders and $1.19 million to its common stockholders. What is the year-end 2008 balance in retained earnings for Triplette? $1.77 million $18.61 million $8.53 million $5.04 million 7. Debt Management Ratios Zoe's Dog Toys, Inc. reported a debt to equity ratio of 1.70 times at the end of 2008. If the firm's total assets at year-end were $49.9 million, how much of their assets are financed with equity? $18.48 m $31.42 m $29.35 m $84.83 m 8. Liquidity Ratios Burt's TVs has current liabilities of $24.3 million. Cash makes up 34 percent of the current assets and accounts receivable makes up another 14 percent of current assets. Burt's current ratio = 1.02 times. What is the value of inventory listed on the firm's balance sheet? (Do not round intermediate steps.) $12.89 m $52 m $8.26 m $3.47 m 9. DuPont Analysis Last year, PJ's Ice Cream Parlors, Inc. reported an ROE = 12.5%. The firm's debt ratio was 35%, sales were $30 million, and the capital intensity ratio was .80 times. What is the net income for PJ's last year? (Do not round intermediate steps.) $3.75 m $3.00 m $1.95 m $24.00 m 10. Moving Cash Flows What is the value in year 13 of a $800 cash flow made in year 6 when the interest rates are 12 percent? $1,768.55 $1,472.00 $3,490.79 $183.34 11. Moving Cash Flows What is the value in year 4 of a $1,900 cash flow made in year 5 when interest rates are 11.0 percent? $1,251.59 $1,127.56 $1,711.71 $1,691.00 12. Moving Cash Flows What is the value in year 2 of a $1,700 cash flow made in year 3 when interest rates are 9.0 percent? $1,547.00 $1,559.63 $1,430.86 $1,312.71 13. Future Value Compute the future value in year 7 of a $300 deposit in year 2 and another $100 deposit at the end of year 4 using a 10% interest rate. $650.00 $779.49 $616.25 $580.00 14. Present Value of a Perpetuity A perpetuity pays $110 per year and interest rates are 6.6 percent. How much would its value change if interest rates increased to 9.1 percent? $457.88 decrease $457.88 increase $275.00 increase $275.00 decrease 15. Teaser Rate Mortgage A mortgage broker is offering a 30-year mortgage with a teaser rate. In the first two years of the mortgage, the borrower makes monthly payments on only a 5.0 percent APR interest rate. After the second year, the mortgage interest charged increases to 8.0 percent APR. What is the effective interest rate in the first two years? What is the effective interest rate after the second year? 5.12%, 8.30% respectively 4.89%, 7.72% respectively 5.00%, 8.00% respectively 12.59%, 12.65% respectively 16. Forecasting Interest Rates On May 23, 20XX, the existing or current (spot) one-year, two-year, three-year, and four-year zero-coupon Treasury security rates were as follows: R1 = 6.00%, 1 R2 = 6.50%, 1 R3 = 7.00%, 1 1 R4 = 7.20% Using the unbiased expectations theory, what is the one-year forward rate on zero-coupon Treasury bonds for year four as of May 23, 20XX 7.20% 24.59% 7.80% 6.675% 17. TIPS Interest and Par Value A 5.50 percent TIPS has an original reference CPI of 177.50. If the current CPI is 209.40, what is the current interest payment and par value of the TIPS? (Round your answers to 2 decimal places.) $1,179.72, $32.44, respectively $1,179.72, $55.00, respectively $1,000.00, $27.50, respectively $1,000.00, $55.00, respectively 18. Taxable Equivalent Yield What's the taxable equivalent yield on a municipal bond with a yield to maturity of 5.75 percent for an investor in the 33 percent marginal tax bracket? (Round your answer to 2 decimal places.) 1.90% 8.58% 17.42% 5.75% 19. Taxable Equivalent Yield What's the taxable equivalent yield on a municipal bond with a yield to maturity of 6.50 percent for an investor in the 25 percent marginal tax bracket? (Round your answer to 2 decimal places.) 6.50% 26.00 % 1.63% 8.67% 20. Value a Constant Growth Stock Financial analysts forecast Best Buy Company (BBY) growth for the future to be 13.00 percent. Their recent dividend was $.49. What is the value of their stock when the required rate of return is 14.13 percent? $3.85 $49.00 $43.36 $4.90 21. Selling Stock with a Limit Order You would like to sell 300 shares of International Business Machines (IBM). The current bid and ask quotes are $96.40 and $96.33, respectively. You place a limit sell-order at $96.36. If the trade executes, how much money do you receive from the buyer? $28,908 $28,920 $57,819 $28,899 22. Portfolio Weights If you own 685 shares of Air Line Inc at $42.5, 300 shares of BuyRite at $55.75, and 400 shares of Motor City at $9.8, what are the portfolio weights of each stock? Air Line = .5853, BuyRite = .3363, MotorCity = .0784 Air Line = .6850, BuyRite = .3000, MotorCity = .4000 Air Line = .4946, BuyRite = .2166, MotorCity = .2888 Air Line = .3333, BuyRite = .3333, MotorCity = .3333 23. Portfolio Return At the beginning of the month, you owned $11,500 of Company G, $11,400 of Company S, and $17,800 of Company N. The monthly returns for Company G, Company S, and Company N were 10.6 percent, -1.39 percent, and 9.4 percent. What is your portfolio return? (Round intermediate calculations to 2 decimal places.) 7.14% 18.65% 6.72% 6.22% 24. Under/Over Valued Stock A manager believes his firm will earn a 11.05 percent return next year. His firm has a beta of 1.37, the expected return on the market is 8.7 percent, and the risk-free rate is 3.7 percent. Compute the return the firm should earn given its level of risk and determine whether the manager is saying the firm is under-valued or over-valued. 15.619%, under-valued 15.619%, over-valued 10.55%, over-valued 10.55%, under-valued 25. Under/Over Valued Stock A manager believes his firm will earn a 17.7 percent return next year. His firm has a beta of 1.67, the expected return on the market is 15.7 percent, and the risk-free rate is 5.7 percent. Compute the return the firm should earn given its level of risk and determine whether the manager is saying the firm is under-valued or over-valued. 22.4%, over-valued 27.219%, over-valued 27.219%, under-valued 22.4%, under-valued 0

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