Ask Question, Ask an Expert


Ask Basic Finance Expert

1) XYZ Corporation has projected sales of= $65,000 in January, $76,000 in February, and $84,000 in March. November’s sales were= $68,000, and December’s sales were= $72,000. XYZ’s makes 60% of their sales on credit. Of these credit sales, 70% is gathered in one month, and 27% in 2 months. Purchases average= 65% of sales. Purchases are made on credit and paid in following month. Wages and overhead are= $7,000 a month. If firm has the cash balance of= $122,000 at commencement of January, compute its cash balance be in March?

2) The acquiring firm is eager to pay the 25% premium for target firm's shares, presently selling at $20 per share. Target has 1 million shares outstanding, present assets of= $5 million, fixed assets of= $40 million, and liabilities of= $20 million. Amount of goodwill involved in this transaction is:

a) $0

b) $2,500,000

c) $5,000,000

d) $6,250,000

e) none of the above

3) Describe how dual-class recapitalization could be used in the restructuring to keep control of firm in the narrow set of hands. Why might shareholders holding lesser control be eager to accept these dual class shares?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M915121

Have any Question? 

Related Questions in Basic Finance

Tips capital returnconsider a 400 tips with an issue cpi

TIPS Capital Return Consider a 4.00% TIPS with an issue CPI reference of 183.60. At the beginning of this year, the CPI was 190.70 and was at 199.60 at the end of the year. What was the capital gain of the TIPS in percen ...

Why is it expected to be using higher discount rates to

Why is it expected to be using higher discount rates to discount stock dividend payments compared to the discount rates used to discount bond coupon payments?

Commercial paper who issues commercial paperwhat types of

Commercial Paper : Who issues commercial paper? What types of financial institutions issue commercial paper? Why do some firms create a department that can directly place commercial paper? What criteria affect the decisi ...

What will be the worth of a bond with a par value of 1000

What will be the worth of a bond with a par value of $1000 earning a coupon interest rate of 12% and paying interest semi-annually at the end of the fifth year if the cost of capital is 8%.

Please answer in 250 words or morein a perfect world

Please answer in 250 words or more. In a "perfect world" capital market, how important is a firm's decision to pay dividends versus repurchase shares? Under what conditions would you have a tax preference for share repur ...

Case study - john simpsonbackgroundjohn has been a

Case study - John Simpson Background John has been a self-employed carpenter for 10 years, and operates his business under a company structure. He has approached you for help in arranging finance for a potential purchase ...

Detailsthis problem set introduces you to the use of spss

Details: This problem set introduces you to the use of SPSS for analyzing data with more than one IV and more than one DV to investigate comparison of means. You will perform a one-way between subjects MANOVA on the data ...

Detailsiron ore what iow casting company is considering

Details: Iron Ore What? (IOW) Casting Company is considering adding a new line to its product mix. Sydney Johnson, a recently minted MBA, will be conducting the capital budgeting analysis. The new production line would b ...

Interpret financial information written assessment-learning

Interpret financial information Written Assessment- Learning Outline - Within this resource, you will be covering the following key topics: Access and interpret financial information Use and provide financial information ...

Fin200 assignmentalist and briefly describe the three

FIN200 Assignment A. List and briefly describe the three general areas of responsibility for a chief financial officer (CFO) of a selected non-financial company which is listed on Australian Stock Exchange (ASX). Explain ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate