You purchased GARP stock one year ago at a price of $63.03 per share. Today, you sold your stock and earned a total return of 18.15 percent. The stock paid dividends of$2.28 per share over the year. What was the capital gains yield on your investment?

Road Kill Restaurant had the following account balances. The change in these accounts represents a net ____ of cash for the year in the amount of _____. Beginning Balance Ending Balance Accounts receivable $ 28,275 $ 26,000 Accounts payable 40,925 42,250 Inventory 20,425 24,250

You are evaluating a project that requires $324,000 in external financing. The flotation cost of equity is 8.4 percent and the flotation cost of debt is 5.1 percent. What is the initial cost of the project including the flotation costs if you maintain a debt-equity ratio of .35?

What is the variance of the returns on a portfolio that is invested 40 percent in Stock S and 60 percent in Stock T? State of Economy Probability of State of Economy Rate of Return if State Occurs Stock S Stock T Boom .06 .22 .18 Normal .92 .15 .14 Bust .02 −.26 .09

Deep Hollow Markets has a target capital structure of 35 percent debt, 5 percent preferred stock, and 60 percent common stock. The flotation costs are 8.6 percent for common stock, 6.2 percent for preferred stock, and 3.8 percent for debt. The corporate tax rate is 21 percent. What is the weighted average flotation cost?

Franktown Motors is expected to have an EBIT of $687,400 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $48,000, $7,000, and $42,000, respectively. All cash flow items are expected to grow at 6 percent per year for four years. After Year 5, the CFA* is expected to grow at 2.1 percent indefinitely. The company currently has $3.2 million in debt and 250,000 shares outstanding. The company’s WACC is 9.9 percent and the tax rate is 21 percent. What is the price per share of the company’s stock?

The Fried Green Tomatoes Restaurant has increased its operating cycle from 96.2 days to 100.4 days while the cash cycle has decreased by 2.3 days. How have these changes affected the accounts payable period?

A project has a discount rate of 15.5 percent, an initial cost of $109,200, an inflow of $56,400 in Year 1, and an inflow of $75,900 in Year 2. Your boss requires that every project return a minimum of $1.06 for every $1 invested. Based on this information, what is your recommendation on this project?

All That Remains Products has projected sales for next year of: Q1 Q2 Q3 Q4 Sales $ 76,200 $ 79,925 $ 86,600 $ 93,720 The company places orders each quarter that are 54 percent of the following quarter’s sales and has a 60-day payables period. What is the accounts payable balance at the end of the third quarter?

The Square Box is considering two independent projects with an initial cost of $18,000 each. The cash inflows of Project A are $3,000, $7,000, and $10,000 for Years 1 to 3, respectively. The cash inflows for Project B are $3,000, $7,000, and $15,000 for Years 1 to 3, respectively. The required return is 12 percent and the required discounted payback period is 3 years. Based on discounted payback, which project(s), if either, should be accepted?