Problem 16.12 – Earleton Manufacturing
Fundamentals of Financial Management, Concise
Brigham and Houston
09th Edition and 10th Edition
Determine sales at full capacity, the target assets/sales ratio and the increase in fixed assets.
Determine sales at full capacity, the target assets/sales ratio and the increase in fixed assets.
Given EBIT, the interest rate, cost of equity, tax rate, and amount borrowed…
Given the revolving credit arrangement, interest rate per quarter, compensating balance, short-term investment… figure out the effective annual rate for the different borrowing amounts.
Calculate the average accounts payable and average accounts receivable.
Complete the giant grid Cash Budget for Hurzdan, Inc for Q1, Q2, Q3, Q4.
Given the fixed commitment line of credit, percent paid on funds borrowed, compensating balance, commitment fee, and the credit used… figure out the effective annual interest rates.
Given net working capital, long-term assets, the value of the firm, debt, and equity… find the company’s WACC and how retiring debt will change the market-value balance sheet.
Given four years worth of income(loss) data along with tax rates for each year, determine the income tax refund receivable due to the NOL carryback.
Determine the total disbursements for the second quarter of the year for Big Red, based on the given information on projected sales, expenses, and payables period.
Determine the total cash surplus or deficit at the end of Q1 for Industrial Supply, considering projected sales, purchases, accounts receivable and payable periods, cash expenses, interest and taxes, beginning cash and short-term loan balance, capital spending, and the minimum cash balance requirement.