How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Manal Elkhoshkhany Your Own Question

Manal Elkhoshkhany
Manal Elkhoshkhany, Tutor
Category: Finance
Satisfied Customers: 9453
Experience:  More than 5000 online tutoring sessions.
Type Your Finance Question Here...
Manal Elkhoshkhany is online now
A new question is answered every 9 seconds

Hi...I have a timed assigment. 7 questions 1 hour...Are you

Customer Question

Hi...I have a timed assigment. 7 questions 1 hour...Are you available to help?
Submitted: 2 years ago.
Category: Finance
Expert:  Manal Elkhoshkhany replied 2 years ago.

Hi

 

Yes :) This is Finance, right?

Customer: replied 2 years ago.
yes...Finance!
Expert:  Manal Elkhoshkhany replied 2 years ago.
Can we do it after one hour? I need to help someone with a timed quiz also now
Customer: replied 2 years ago.
sounds good. Let me know when its time. I will be waiting
Expert:  Manal Elkhoshkhany replied 2 years ago.

Deal :)

 

 

Please do not respond to this message as this would lock me out of replying
to other posts and cause a delay in getting back to you

 

Expert:  Manal Elkhoshkhany replied 2 years ago.

Sorry for being late

 

I am ready :)

Customer: replied 2 years ago.

Clayton Industries is planning its operations for next year, and Ronnie Clayton, the CEO, wants you to forecast the firm's additional funds needed (AFN). The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year? Dollars are in millions.

Last year’s sales = S0 $350 Last year’s accounts payable $40

Sales growth rate = g 30% Last year’s notes payable $50

Last year’s total assets = A0* $500 Last year’s accruals $30

Last year’s profit margin = PM 5% Target payout ratio 60%

Answer
a.

$102.8

b.

$108.2

c.

$113.9

d.

$119.9

e.

$125.9

1 points

Question 2

  1. Suppose Yon Sun Corporation’s free cash flow during the just-ended year (t = 0) was $100 million, and FCF is expected to grow at a constant rate of 5% in the future. If the weighted average cost of capital is 15%, what is the firm’s value of operations, in millions?

    Answer
    a.

    $948

    b.

    $998

    c.

    $1,050

    d.

    $1,103

    e.

    $1,158

1 points

Question 3

  1. You were hired as a consultant to Quigley Company, whose target capital structure is 35% debt, 10% preferred, and 55% common equity. The interest rate on new debt is 6.50%, the yield on the preferred is 6.00%, the cost of common from retained earnings is 11.25%, and the tax rate is 40%. The firm will not be issuing any new common stock. What is Quigley's WACC?

    Answer
    a.
    8.15%
    b.
    8.48%
    c.
    8.82%
    d.
    9.17%
    e.
    9.54%

1 points

Question 4

  1. Which of the following statements is CORRECT? Assume that the project being considered has normal cash flows, with one outflow followed by a series of inflows.

    Answer
    a.

    The longer a project’s payback period, the more desirable the project is normally considered to be by this criterion.

    b.

    One drawback of the regular payback for evaluating projects is that this method does not properly account for the time value of money.

    c.

    If a project’s payback is positive, then the project should be rejected because it must have a negative NPV.

    d.

    The regular payback ignores cash flows beyond the payback period, but the discounted payback method overcomes this problem.

    e.

    If a company uses the same payback requirement to evaluate all projects, say it requires a payback of 4 years or less, then the company will tend to reject projects with relatively short lives and accept long-lived projects, and this will cause its risk to increase over time.

1 points

Question 5

  1. Harry's Inc. is considering a project that has the following cash flow and WACC data. What is the project's NPV?

    WACC: 10.25%

    Year 0 1 2 3 4 5

    Cash flows -$1,000 $300 $300 $300 $300 $300

    Answer
    a.

    $105.89

    b.

    $111.47

    c.

    $117.33

    d.

    $123.51

    e.

    $130.01

1 points

Question 6

  1. The term “additional funds needed (AFN)” is generally defined as follows:

    Answer
    a.

    Funds that are obtained automatically from routine business transactions.

    b.

    Funds that a firm must raise externally from non-spontaneous sources, i.e., by borrowing or by selling new stock to support operations.

    c.

    The amount of assets required per dollar of sales.

    d.

    The amount of internally generated cash in a given year minus the amount of cash needed to acquire the new assets needed to support growth.

    e.

    A forecasting approach in which the forecasted percentage of sales for each balance sheet account is held constant.

1 points

Question 7

  1. Hindelang Inc. is considering a project that has the following cash flow and WACC data. What is the project's MIRR? Note that a project's MIRR can be less than the WACC (and even negative), in which case it will be rejected.

    WACC: 12.25%

    Year 0 1 2 3 4

    Cash flows -$850 $300 $320 $340 $360

    Answer
    a.

    13.42%

    b.

    14.91%

    c.

    16.56%

    d.

    18.22%

    e.

    20.04%

1 points

Question 8

As a member of UA Corporation’s financial staff, you must estimate the Year 1 cash flow for a proposed project with the following data. What is the Year 1 cash flow?

Sales revenues, each year $42,500

Depreciation $10,000

Other operating costs $17,000

Interest expense $4,000

Tax rate 35.0%

Answer
a.

$16,351

b.

$17,212

c.

$18,118

d.

$19,071

e.

$20,075

Expert:  Manal Elkhoshkhany replied 2 years ago.

Hello again :)

 

Please click on the following link:

 

http://www.box.com/s/2fc139a70fa2b54eeee9

 

 

P.S. If you like my services, please feel free to direct your future posts to me specifically by typing "For BusinessTutor" at the beginning of your post. Should you choose to do this, please try to allow me 48 hours before the deadline. If you need to meet me online for a timed assignment, please advise me of the date and time (EST) you want me to meet you here and I will. Please make sure you take the length (and number) of the questions into consideration when making your offer to avoid delays in providing solutions.

 

Thank you

Manal Elkhoshkhany, Tutor
Category: Finance
Satisfied Customers: 9453
Experience: More than 5000 online tutoring sessions.
Manal Elkhoshkhany and 3 other Finance Specialists are ready to help you
Customer: replied 2 years ago.
Are you available tonight for a timed assigment? 18 questions 2 1/2 hour...
Expert:  Manal Elkhoshkhany replied 2 years ago.

I have responded to you on the other post.

 

 

Please do not respond to this message as this would lock me out of replying
to other posts and cause a delay in getting back to you

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
< Last | Next >
  • I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response... T.G.W Matteson, IL
  • I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight. Bonnie Chesnee, SC
  • Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation. John Minneapolis, MN
  • Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with. Orville Hesperia, California
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
 
 
 

Meet The Experts:

 
 
 
  • Rakhi Vasavada

    Financial and Legal Consultant

    Satisfied Customers:

    2073
    Graduated in law with Emphasis on Finance and have have been working in financial sector for over 12 Years
< Last | Next >
  • http://ww2.justanswer.com/uploads/RA/rakhi.v/2012-7-3_14374_RakhiVasavadaL.64x64.jpeg Rakhi Vasavada's Avatar

    Rakhi Vasavada

    Financial and Legal Consultant

    Satisfied Customers:

    2073
    Graduated in law with Emphasis on Finance and have have been working in financial sector for over 12 Years
  • http://ww2.justanswer.com/uploads/BU/BusinessTutor/2012-2-2_115741_Kouki2.64x64.jpg Manal Elkhoshkhany's Avatar

    Manal Elkhoshkhany

    Tutor

    Satisfied Customers:

    1890
    More than 5000 online tutoring sessions.
  • http://ww2.justanswer.com/uploads/MY/MyVirtualCPA/2012-7-5_44024_cookmegan1.64x64.jpg Megan C's Avatar

    Megan C

    Certified Public Accountant (CPA)

    Satisfied Customers:

    1755
    Licensed CPA, CFE, CMA who teaches accounting courses at Master's Level
  • http://ww2.justanswer.com/uploads/JK/jkcpa/2011-1-16_182614_jkcpa.64x64.jpg JKCPA's Avatar

    JKCPA

    CPA

    Satisfied Customers:

    838
    Bachelors degree and CPA with Accounting experience.
  • http://ww2.justanswer.com/uploads/starside8/2010-2-16_55433_DSCN1175.JPG Eric's Avatar

    Eric

    Financial Manager

    Satisfied Customers:

    558
    Loan servicing, counseling and real estate expert. Foreclosure Expert and Financial Planner.
  • http://ww2.justanswer.com/uploads/FA/fastfile/2011-12-15_23139_Klein2011small.64x64.jpg R. Klein, EA's Avatar

    R. Klein, EA

    Accountant

    Satisfied Customers:

    397
    Intuit Ask a Tax Expert. QuickBooks Certified Pro Advisor (all editions)
  • http://ww2.justanswer.com/uploads/dkaplun/2009-05-17_173121_headshot_1_2.jpg Dimitry K., Esq.'s Avatar

    Dimitry K., Esq.

    Attorney

    Satisfied Customers:

    324
    NASD Licensed Rep, 1997-2001, Business Attorney