Homework for Class
1.Which of the following cannot be engaged in managing a business
A. limited partner
B. a general partner
C. a sole proprietor
D. bone of the above
4. During the last year, sigma co had a net income of $144, paid $18 in dividends and sold new stocks for $30. Beginning equity for the year was $600. ending equity was?
5. The following items are components of a traditional balance sheet. How much are the total assets of the firm
Plant and equipment 42,900
Common Stocks 15,000
bad Debts reserve 6,000
Additional paid in capital 6,000
Accumulated depreciation 26,500
Accounts receivables 22,000
6.Brigton corp bought an oil rig exactly 6 years ago for 102,000,000. Brigton depreicated oil rigs straight line over 10 years assuming no salvage value. (straight line Depreciation means that the yearly depreciation will be the purchase price of the oil rig divided by the number of years it will last, which is 10 years hers). the rig was just sold to british pretrolum for for $31,000,000. What capital gail/loss will grington report on this transaction?
7. Walkers corp conducted the following activities during 2001, A.the sold 10,000 shares of their own stock for $16.00 per shares, B the issued bonds for which they received $495,000. C they paid dividends to thier stockholders totaling 83,000. D they sold a piece of equipment for $50,000 that they were carrying on thierbooks for $20,000 E they earned net income of 140,000. What would be shown on the statement of cash flows for “Cash from financing activities” based on the information above?
8. Giving the following selected information on cicalese chocolate, calculate Cash flow from operating activities for the year 2011.
Dec31, 2010 Dec31, 2011
Eat $600,000 $750,000
Depreciation exp 100,000 120,000
Dividends 400,000 550,000
Account receivables 1,500,000 2,000,000
Inventory 3,500,000 2,000,000
Accts Payable and accured 350,000 500,000
Long term depts 2,300,000 3,000,000
common stocks 2,200,000 2,500,000
Retained earnings 6,150,000 6,350,000
9. Cameron Balance sheet
Acct payable and accured 26
Acct receivables 56
Acct depreciation (175)
Common Stocks 120
Fixed Assets (gross) 390
long term debt 200
Retained earnings 65
What is cameron’s net working capital?
10 A firms current ratio is 1.1, and its quick ratio is 1.0. if its current liability are $13,500, what are its inventories?
11 .Iris income statement
cost of goods sold 340
Depreciation expenses 35
interest expenses 20
Operating expenses(excluding Depreciation) 115
What is Iris earning before interest and taxes (ebit)?
12. Iris Balance sheet
Acct payables and accruals 65
Acct receivables 62
Accumulated depreciation (175)
Common stock 120
Fixed assets(gross) 390
long term debt 200
retained earnings 65
What is Iris total asset?
14. Flying tiger has net sales of $748,000 and accounts receivables of $158,000 . what is the firms account receivable turnover? (Give answer up to two decimal places)
15. Regan has reported a net income of 828,400 for the year. The company’s shares price is $12.90, and the company has 315,040 shares outstanding. Compute the firms price-earnings ratio up to two decimal places.
16. You purchased a piece of property for 30,000 nine years ago and sold it today for 83,190. what is the annual rate of return for your investment?
17. The first National Bank has agreed to lend you $30,000 today, but you must repay $42,135 in 3 years. What percentage rate is the bank charging you?
a, 13% b, 12% c, 11% d, 10%
18. The Florida lottery agrees to pay the winner $282,000 at the end of each year for the next 20 years. What is the future value of the prize if each payment is put in an account earning 0.08?