Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Financial Management Expert

problem 1) Answer all the problems:

i) What are major financial decisions? Describe.

ii) prepare down the differences between operating and financial leverage.

iii) What do you understand by operating cycle? How it is find outd.

iv) What is dividend? What is the difference between regular dividend and interim dividend?

v) What is weighted cost of capital?

problem 2) What is capital structure? Describe the factor affecting capital structure.

problem 3) prepare brief notes on:

a) Cash Management

b) Break Even Point

c) Cost Of Capital

problem 4) Mangal Ltd. Is consideration investing in a project requiring a capital outlay of Rs.2, 00,000.
Forecasted annual incomes after depreciation but before tax are as follows:

YEAR               1               2             3            4             5
INCOME      1,00,000    1,00,000    80,000    80,000    40,000

Depreciation may be taken as 20% on original cost of the asset and taxation at 50% of net income.

You are needed to evaluate the project according to each of the following methods:

i) Pay-back period,

ii) Average rate of return,

iii) Net present value and

iv) Profitability index.

The present value factor at 10% discount rate for I, II, III, IV and Vth year are: 0.909, 0.826, 0.751, 0.683 and 621 respectively.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M94401

Have any Question? 


Related Questions in Financial Management

Trend line inc has been growing at a rate of 7 per year and

Trend Line inc. has been growing at a rate of 7% per year and is expected to continue to do so indefinitely. The next dividend is expected to be $7.00 per share. A. If the market expects a 12% rate of return on Rend Line ...

The caughlin company has a long-term debt ratio of 40 and a

The Caughlin Company has a long-term debt ratio of .40 and a current ratio of 1.20. Current liabilities are $960, sales are $6,380, profit margin is 9.3 percent, and ROE is 20.1 percent. What is the amount of the firm’s ...

Investors expect the market rate of return this year to be

Investors expect the market rate of return this year to be 16.50%. The expected rate of return on a stock with a beta of 1.5 is currently 24.75%. If the market return this year turns out to be 14.50%, how would you revis ...

A project has the following cash flowsdate nbsp nbsp nbsp

A project has the following cash flows: Date                          Cash flow 0                                 -$200 1                                  $80 2                                $50 3                       ...

Many foreign companies like to cross-list their stocks on

Many foreign companies like to cross-list their stocks on one or more foreign stock exchanges. How do cross listed stocks differ from ADRs and other depository-receipt securities? Find a cross-listed stock trading on one ...

Nonconstant growth valuation a company currently pays a

Nonconstant Growth Valuation A company currently pays a dividend of $1.5 per share (D0 = $1.5). It is estimated that the company's dividend will grow at a rate of 24% per year for the next 2 years, then at a constant rat ...

Beam inc bonds are trading today for a price of 29529 the

Beam Inc. bonds are trading today for a price of $295.29. The bond currently has 25 years until maturity and has a yield to maturity of 9.42%. The bond pays annual coupons and the next coupon is due in one year. What is ...

Nachman industries just paid a dividend of d0 375 analysts

Nachman Industries just paid a dividend of D0 = $3.75. Analysts expect the company's dividend to grow by 30% this year, by 10% in Year 2, and at a constant rate of 5% in Year 3 and thereafter. The required return on this ...

You are evaluating two different silicon wafer milling

You are evaluating two different silicon wafer milling machines. The Techron I costs $261,000, has a three-year life, and has pretax operating costs of $70,000 per year. The Techron II costs $455,000, has a five-year lif ...

During the year the senbet discount tire company had gross

During the year, the Senbet Discount Tire Company had gross sales of $1.26 million. The firm’s cost of goods sold and selling expenses were $545,000 and $235,000, respectively. The firm also had notes payable of $1,000,0 ...

  • 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

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro