Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Financial Management Expert

1) prepare down the sources of long-term funds? Describe factors affecting long term funds requirements?

2) What do you mean by capital structure? What are the main determinants of capital structure.

3) What do you mean by inventory management? Why is it necessary to a business concern?

4) Rank the projects given below in order of their desirability according to the Pay-Back Period Method and the Net Present Value Index Method (Discount rate10%).

Project                 Initial Outlay            Annual Cash Flow          Life
In Years                      Rs.                              Rs.
A                              10,000                        2,500                     5
B                                8,000                        2,600                     7
C                                 4,000                       1,000                    15
D                               10,000                        2,400                    20
E                                  5,000                        1,125                    15
F                                  6,000                        2,400                     6
G                                 2,000                         1,000                     2

5) Sam wishes to begin a new trading business and provides the following information.

(a) The total estimated sales in a year will be Rs. 12, 00,000.
(b) His expenses are estimated as fixed expenses of Rs. 2,000 per month plus variable expenses equal to five percent of his turnover.
(c) He expects to fix a sales price for each product which will be 25 percent in excess of his cost of purchase.
(d) He expects to turnover his stock four times in a year.
(e) The sales and purchases will be evenly spread throughout the year. All sales will be for cash but he expects one month's credit for purchases.

Compute:

(i) His estimated profit for the year.

(ii) His average working capital requirements.

6) What do you mean by lease financing? prepare down its advantages and limitations.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M99623

Have any Question? 


Related Questions in Financial Management

1 are portfolio managers willing to pay a premium for

1. Are portfolio managers willing to pay a premium for securities that reduce the systematic (market) risk of their portfolios? If so, why pay a premium?

You are interested in buying a stock that has a price of 42

You are interested in buying a stock that has a price of $42. You have projected that next year there is: a 10% probability the stock will equal $1, a 20% probability the stock will equal $31, a 30% probability the stock ...

If you are considering hiring a tax preparer use the

If you are considering hiring a tax preparer, use the following questions as an interview guide to screen candidates. 1. How long have you been preparing tax returns? 2. What training have you had preparing tax returns? ...

Madsen motorss bonds have 7 years remaining to maturity

Madsen Motors's bonds have 7 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 9.5%; and the yield to maturity is 12%. What is the bond's current market pri ...

Carow industries has just started to deposit 300 at the end

Carow Industries has just started to deposit $300 at the end of each month into its employees' retire- ment fund (i.e., the first deposit will take place one month from now).  These deposits will continue for each em- pl ...

In referring to the collapse of the long-term capital

In referring to the collapse of the Long-Term Capital Management hedge fund in 1998, an article in the New York Times noted that: Starting with just $5 billion in capital, the fund was able to get $125 billion in additio ...

You have just purchased an investment that generates the

You have just purchased an investment that generates the following cash flows for the next four years. You are able to reinvest these cash flows at 6.3 percent, compounded annually. End of year 1. $1,280 2. $3,428 3. $1, ...

With a short term interest rates near 0 percent in early

With a short term interest rates near 0 percent in early 2014, suppose the treasury decided to replace maturing notes and bonds by issuing new treasury bills, thus shortening the average maturity of US debt outstanding. ...

Assume yoursquove generated the following information about

Assume you’ve generated the following information about the stock of Bufford’s Burger Barns: The company’s latest dividends of $4 a share are expected to grow to $4.32 next year, to $4.67 the year after that, and to $5.0 ...

Establishment industries borrows 800million at an interest

Establishment industries borrows $800million at an interest rate of 7.6%. What is the annual interest tax shields? if the establishment expects to maintain this debt level into the far future, what is the PV of interest ...

  • 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

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

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen