When you construct a firm's cashflow statement, in the part of financing activities, you realize that there is an "increase in common stock" of $10,000. How will this affect the firm's cash holding?

Question 31 options:

	The firm's cash holding will increase by $10,000.
	The firm's cash holding will decrease by $10,000.

Question 32 (1 point)

You are given the balance sheets for year 2098 and 2099. When you construct the firm's cashflow statement for 2099, in the part of operating activities, you start with net income in 2099 and you need to make adjustments for the amount "increase in accounts payable" (i.e. increase from 2098 to 2099). Do you add "increase in accounts payable" back or deduct "increase in accounts payable"? Your supervisor just notice that the amount recorded under "increase in accounts payable" is negative and ask you to reconsider the scenario before answering the question.

Question 32 options:

	Add
	Deduct
	The scenario presents conflicting information and you cannot answer the question.

Question 33 (1 point)

A fully amortizing mortgage loan is made for $100,000 for 15 years. The interest rate is 6 percent per year compounding monthly. Payments are to be made monthly. What is the loan outstanding after one monthly payment? (Round to a dollar)

Question 33 options:

	$89,380
	$99,656
	$89,692
	$89,691
	$79,725

Question 34 (1 point)

The Anti-Corona Company is going through a five-year of fast growth at 10% initially, and then it will grow at a perpetual rate of 4%. The required rate of return is 10% and it just paid a dividend of $2. What is the stock price today?

Question 34 options:

	43.88
	86.26
	66.64
	44.67
	31.5

Question 35 (1 point)

Your part-time job as Barista at the local coffee house has convinced you that you are ready to buy a $45,000 BMW. Unfortunately you have no money for a down payment. The local bank, Loansforall Savings and Trust, is willing to give you a 4-year loan for the $45,000 you need at 12% annual interest compounding monthly. What will your monthly payments be?

Question 35 options:

	$635
	$845
	$1,185
	$985
	$1,565