If the Treasury yield curve is upward sloping then:

If a firm changes its capital structure in such a way that the firm now has relatively more debt and less equity than it did before, but the change is not large enough to affect the required returns on the debt or on the equity, the firm’s weighted average cost of capital should increase.

Recalling the Hill Country Snack Foods case, in order to calculate the Cash Payments to Securityholders, you should add together the Cash Flows from Operating Activities and the Dividend Payments.

If the Treasury yield curve is downward sloping then:

Which of the following is an important characteristic of Hill Country Snack Foods (HCSF)?

In the Nelson’s Nursery case, the biggest contributor to the long cash conversion cycle (CCC) was the:

Ryan’s Auto Parts had net income of $996,000 on sales of $12,450,000 and paid dividends of $363,540 this year.  The company has 400,000 shares of stock outstanding with a price per share of $64.95.  What is Ryan’s Auto Parts’  dividend payout rate?

Use the following information to determine the return on assets (ROA).  Gross profit margin 50.0% Operating profit margin 24.0% Net profit margin 7.0% Fixed asset turnover           2.10 Total asset turnover           1.50 Liabilities-to-assets 30% Equity multiplier           1.43 Enter your answer rounded to 3 places.  In other words, if your answer is 7.2134%, enter 0.072.  If your answer is 7.8561%, enter 0.079.

Given the following information, what is the company’s Cash Conversion Cycle (CCC)? [Use a 365 day year] Sales on credit  $        260,000 Cost of good sold             210,000 Purchases               63,000 Accounts receivable               17,096 Inventory               28,767 Accounts payable                 1,726

Use the following Weighted Average Cost of Capital (WACC) and the cash flows for years 0-4 to calculate the Net Present Value (NPV) for Project Freefall.  WACC 5% CF 0         (131,000) CF 1             45,000 CF 2             47,000 CF 3             49,000 CF 4             38,000