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Please help correct Instructor comments: All of the assigned problems attempted and completed using the financial functions of excel to provide the underlying calculations

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Instructor comments: "All of the assigned problems attempted and completed using the financial functions of excel to provide the underlying calculations and support. All responses are accurate and correct except #1 must read the examples and problems closely for what is wanted. Need Cash, NWC, and Current Asset values - all three are incorrect..."

image text in transcribed Problem 1. Net Worth ADD Long Term debt ADD Current Liabilities Less Net Working Capital (excluding cash) Less Fixed Assets Cash 17800 6900 2575 1600 21300 4375 Cash ADD Net Working Capital (excluding cash) Net Working Capital Less Current Liabilities Current Asset 4375 1600 5975 2575 3400 Problem 2 What is the new market value of the company? New market value 52,670,000.00 How many rights are associated with one of the new shares? 8.62 The ex-rights price. 84.27 The value of a right. 0.73 Problem 3 . Using spot and forward exchange rates: The spot exchange rate for the Canadian dollar (CAD) is 1.14 CAD and the six-month forward rate is 1.17 CAD. Calculate whether a U.S. dollar (USD) or a Canadian dollar is worth more. With 1US dollar we can buy 1.14 Canadian Dollar Therefore the U.S. dollar is worth As one Canadian dollar will buy Dollar is strengthening against Canadian dollar in 6 month forward rate Problem 4 Japanese yen exchange rate is 96=$ 1 0.87719 British pound exchange rate is 1=$1.72 Cross-rate in terms of yen per pound In terms of Japanese yen In terms of British pound $1=1/1.72 Cross-rate in terms of yen per pound =96/.5814 $1 = 96.00 0.581395 165.12000 2 D) is 1.14 CAD and the r is worth more. 3 4 5 6

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