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1 year ago

Zumbahlen Inc. has the following balance sheet. How much total operating capital does the firm have?

Business

1 answer:

satela [25.4K]1 year ago

6 0

Answer: the operating capital is $40.00

Explanation:

operating capital is also known as working capital. it is the value of running a business on daily basis. it is also the value of short term resources available for use in daily activities. it is current assets minus current liabilities of a business.

current assets = cash + inventory + account receivable + short term investment = 20+50+20+60= 150

current liabilities = accruals + account payable + notes payable=50+30+30=110

operating capital = 150 - 110 = 40

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BigFive Inc. has been known for its excellent customer service since its start more than 40 years ago. The company carefully sel

Angelina_Jolie [31]

Answer: The correct answer is "E. BigFive's employees not only know how to do their work but also are enthusiastic and committed.".

Explanation: The BigFive Inc company, when selecting employees carefully emphasizing the search for skills and above all commitment to the values of customer service and quality of the company, in the long term it was highly benefited since its employees are trained according to the culture Organizational of the company and they not only know how to do their job, but they are also excited and committed.

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1 year ago

Procter and Gamble (PG) paid an annual dividend of $ 2.87 in 2018. You expect PG to increase its dividends by 8.0 % per year fo

nata0808 [166]

Answer:

$73.47

Explanation:

2.87 is the current dividend paid (D0)

Use that to find dividends for the next 5 years;

D1 = D0(1+g) ; g being the growth rate

D1 = 2.87(1.08) = 3.0996

D2 = 3.0996(1.08) = 3.3476

D3 =3.3476(1.08) = 3.6154

D4 = 3.6154(1.08) = 3.9046

D5 = 3.9046(1.08) = 4.2170

Next, find terminal cashflows;

D6 (yr 2024) = 4.2170 (1.03) = 4.3435

Find Present values of all the dividends using the 8% discount rate with the formula; PV = FV/ $(1+r)^{n}$

PV(D1) = 2.87

PV(D2) = 2.87

PV(D3) = 2.87

PV(D4)= 2.87

PV(D5)= 2.87

PV of terminal value; PV(D6 onwards) = $\frac{\frac{4.3435}{(0.08-0.03)} }{1.08^{5} }$ = 59.1223

Sum up the PVs to find value per share;

$2.87 +$2.87 +$2.87 +$2.87 +$2.87+ $59.1223 = $73.47

8 0

2 years ago

Oriole Tire Co. just paid an annual dividend of $1.70 on its common shares. If Oriole is expected to increase its annual dividen

Butoxors [25]

Answer:

Cost of common stock is 12.02%

Explanation:

The cost of common stock can be computed from share price formula given below:

share price=do*(1+g)/r-g

do is the dividend just paid which is $1.70

g is the expected dividend growth per year which is 3.10%

r is the cost of common stock which is unknown

share price is $19.65

by changing the subject of the formula:

r=do*(1+g)/share price+g

r=1.70*(1+3.10%)/19.65+3.10%

r=1.7527/19.65+3.10%

r=0.0892+3.10%=12.02%

The company's cost of capital which is also the cost of common stock is 12.02%

4 0

1 year ago

Pettijohn Inc. The balance sheet and income statement shown below are for Pettijohn Inc. Note that the firm has no amortization

Tom [10]

Answer:

The appropriate solution is "$2.91". A further explanation is given below.

Explanation:

Seems that the given question is incomplete. Below is the attachment of the full problem.

According to the question,

Common dividend,

= 509.83

Shares outstanding,

= 175

Now,

The dividend per share will be:

= $\frac{Common \ dividend}{Shares \ outstanding}$

On substituting the values, we get

= $\frac{509.83}{175}$

= $2.9133$

or,

= $2.91$

8 0

1 year ago

Behavior modification depends upon what principle?

Zanzabum

The appropriate response is operant conditioning. Operant conditioning is a kind of realizing where conduct is controlled by outcomes. Enter ideas in operant molding are uplifting feedback, negative support, positive discipline and negative discipline.

8 0

2 years ago