Hello Team,

Need help on these questions . Please look at the attachment files below.

Thank you

Save and Subm it 1. QUESTION 1 In 1972, your father purchased a rare art item for $10,000. In 2010, you sold it for $5 million. What annual rate of return did you earn on your father's purchase? A 21.43 . % 1. B 23.02 . % 6 points QUESTION 2 You are given the following information for last year for Four Corners, Inc. (FCI). C 20.06 . % Sales D 17.77 Increase in net fixed assets . % SG&A Expenses E. 18.84 % Cost of goods sold F. 16.81 Interest expense % Depreciation expense Taxes New equity raised Net increase (or decrease) in longterm debt Dividends $200,0 00 $15,00 0 $15,00 0 $75,00 0 $9,000 $8,000 $21,40 0 $8,000 ($2,50 0) $15,00 0 2. What was the change in net working capital during last year? A $ . 29,100 B $ . 47,100 C $ . 24,500 D$ . 42,500 E. $ 33,500 F. $ 38,100 6 points 1. QUESTION 3 You have saved $15,000 for down payment on a car costing $50,000, and plan to finance the rest with a 5-year loan. The dealer is offering you a loan with a monthly payment of $1,000. What effective annual rate of interest is the dealer charging on the loan? A 17.50 . % B 13.65 . % C 26.40 . % D 16.54 . % E. 21.41 % F. 14.35 % 6 points QUESTION 4 1. Use the following information for MFB, Inc. for this problem. MSB Inc. Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Liabilities and owners' equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity 11,560 9,200 15,500 36,260 50,164 86,424 7,000 5,600 12,600 20,000 Common stock and paid-in surplus Accumulated retained earnings Total Total liabilities and owners' equity Income statement Sales -Cost of goods sold Gross Margin -SG&A -Depreciation EBIT -Interest paid Taxable income 30 Taxes % Net income 40 Dividends % 60 Retained earnings % Shares of stock outstanding Market price per share 31,500 22,324 53,824 86,424 72,000 26,200 45,800 18,000 3,600 24,200 2,000 22,200 6,660 15,540 6,216 9,324 14,000 28 2. What is the market to book ratio? A 5.6 . 9 B 6.1 . 3 C 7.9 . 4 D 4.7 . 7 E. 7.2 8 F. 6.9 0 6 points QUESTION 5 1. You are given the following information for Mobility Research, Inc. (MRI). Sales Costs SG&A Interest Dividend paid Retained Earnings Added Total Assets Equity Tax Rate $200,00 0 $105,00 0 $20,000 $21,000 $9,000 $21,000 $85,000 $45,000 35% 2. How much was the depreciation charge for MRI? A $7,84 . 6 B $16,0 . 00 C $3,76 . 9 D $11,9 . 23 E. $20,0 77 F. $1,23 1 6 points QUESTION 6 1. You invest $1,000 in a junk bond that promises to pay back $5,000 after 10 years. What rate of return do you expect to earn? A 17.46 . % B 33.35 . % C 21.15 . % D 25.89 . % E. 14.35 % F. 22.28 % 6 points 1. QUESTION 7 You plan to retire in 30 years with $1 million. You have an investment available that provides a rate of return of 8% per year, compounded monthly. How much will you have to deposit every month into this investment account to reach your retirement goal? A $380. . 98 B $502. . 14 C $605. . 80 D $670. . 98 E. $437. 90 F. $742. 15 6 points 1. QUESTION 8 The Bank of Loans uses the following rating scheme to classify the riskiness of its customers. Risk Class Prime High grade Upper medium grade Lower medium grade Speculative: Non-investment grade Speculative: Highly Substantial risks Extremely speculative Risk Premium (%) .05 1.0 1.5 2.0 4.0 6.0 9.0 12.0 2. The bank's pure rate of interest is 4.0% and the inflation premium is 3%. What rate would the bank offer a customer who is in the upper medium grade risk class? A 8.20 . % B 7.68 . % C 8.73 . % D 6.64 . % E. 7.16 % F. 6.11 % 6 points QUESTION 9 1. You deposit $3,000 at the end of each quarter into an account that pays 7% interest compounded monthly. How much will be in the account after 5 years? A $97,2 . 98 B $85,9 . 78 C $78,7 . 94 D $91,4 . 15 E. $71,1 77 F. $74,8 61 6 points 1. QUESTION 10 Use the following information for MEB, Inc. for this problem. MSB Inc. Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Liabilities and owners' equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings Total Total liabilities and owners' equity Income statement Sales -Cost of goods sold Gross Margin -SG&A -Depreciation EBIT -Interest paid Taxable income 30 Taxes % Net income 40 Dividends % 60 Retained earnings % Shares of stock outstanding Market price per share End 11,020 9,200 15,500 35,720 50,164 85,884 9,400 5,600 15,000 20,000 31,500 19,384 50,884 85,884 62,000 23,200 38,800 18,000 3,600 17,200 2,000 15,200 4,560 10,640 4,256 6,384 13,000 27 2. What are the values of the three ratios in the DuPont identity? A 0.2158, 0.8241, and . 1.5953 B 0.2158, 0.8331, and . 1.6057 C 0.1716, 0.7219, and . 1.6878 D 0.1716, 0.7304, and . 1.6682 E. 0.1238, 0.6313, and 1.7030 F. 0.1238, 0.6313, and 1.6354 6 points QUESTION 11 1. BG Lean, Inc. (BGL) had sales of $200,000 on which it earned a net income of $28,000. It has a total debt of $60,000 and total equity of $54,000. Last year, BBL paid dividends of $6,000. If total debt ratio remains constant and it grows at the sustainable growth rate in the coming year, how much new borrowing will take place? A $41,2 . 50 B $24,3 . 00 C $14,6 . 09 D $11,2 . 50 E. $31,6 67 F. $18,5 45 6 points 1. QUESTION 12 You are 20 years old. You deposit $200 per month for 9 years into an account paying 12 percent annual rate, compounded monthly. After that, you stop making any new deposits but leave the money in the account earning the same rate. How much money will be in the account when you become 54 years old? A $905,59 . 5 B $763,41 . 0 C $1,213,7 . 76 D $1,354,5 . 05 E. $1,058,6 79 F. $1,452,7 85 6 points QUESTION 13 1. BD Lean, Inc. (BDL) had sales of $200,000 on which it earned a net income of $22,000. It has a total debt of $51,000 and total equity of $60,000. Last year, BBL paid dividends of $6,000. What will be the total debt ratio at the end of the next year if the company grows at the internal growth rate (IGR)? A 38.68 . % B 40.47 . % C 37.96 . % D 39.32 . % E. 41.51 % F. 42.47 % 6 points 1. QUESTION 14 You require a risk premium of 3.5 percent on risky investments. The pure rate of interest in the market is 5.0 percent and the inflation premium is 2.5 percent. US Treasury bills are risk free. What should be the yield of the US Treasury bills? Use exact formulation. A 6.60 . % B 5.58 . % C 6.09 . % D 7.11 . % E. 7.62 % F. 8.14 % 6 points QUESTION 15 1. You borrow $90,000 to pay college tuition. The loan carries an annual interest rate of 13 percent and requires you to make quarterly payments of $3,000. How many payments will it take to pay off the loan? (Answers are rounded up.) A 20 . B 12 . 1 C 87 . D 11 . 6 E. 23 F. 17 6 points QUESTION 16 1. BD Lean, Inc. (BDL) had sales of $200,000 on which it earned a net income of $22,000. It has a total debt of $51,000 and total equity of $60,000. Last year, BBL paid dividends of $6,000. What is its sustainable growth rate (SGR)? A 45.00 . % B 36.36 . % C 55.56 . % D 25.00 . % E. 68.75 % F. 30.43 % 6 points 1. QUESTION 17 An investment promises to quadruple your money in eight years. If the interest is compounded monthly, what effective annual rate would you earn? A 16.65 . % B 18.92 . % C 41.42 . % D 31.95 . % E. 21.90 % F. 25.99 % 6 points Click Save and Submit to save and submit. Click Save All Answers to save all answers