UOP E Help - STR 581 Capstone Final Examination Part Two Answers Free

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21. Which of the following presents a summary of changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period? the statement of net worth the statement of cash flows the statement of working capital the statement of retained earnings 22. M&M Proposition 1: Dynamo Corp. produces annual cash flows of $150 and is expected to exist forever. The company is currently financed with 75 percent equity and 25 percent debt. Your analysis tells you that the appropriate discount rates are 10 percent for the cash flows, and 7 percent for the debt. You currently own 10 percent of the stock. If Dynamo wishes to change its capital structure from 75 percent equity to 60 percent equity and use the debt proceeds to pay a special dividend to shareholders, how much debt should they use? $225 $600 $375 $321 23. Horizontal analysis is a technique for evaluating a series of financial statement data over a period of time: that has been arranged from the highest number to the lowest number.
to determine the amount and/or percentage increase or decrease that has taken place. to determine which items are in error. that has been arranged from the lowest number to the highest number. 24. Jayadev Athreya has started his first job. He will invest $5,000 at the end of each year for the next 45 years in a fund that will earn a return of 10 percent. How much will Jayadev have at the end of 45 years? $2,667,904 $5,233,442 $1,745,600 $3,594,524 25. Turnbull Corp. had an EBIT of $247 million in the last fiscal year. Its depreciation and amortization expenses amounted to $84 million. The firm has 135 million shares outstanding and a share price of $12.80. A competing firm that is very similar to Turnbull has an enterprise value/EBITDA multiple of 5.40. What is the enterprise value of Turnbull Corp.? Round to the nearest million dollars. $1,344 million $453.6 million $1,315 million $1,787 million
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UOP E Help - STR 581 Capstone Final Examination Part Two Answers Free

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