Thursday 11 May 2017

FIN 571 Week 2 Individual Homework

FIN 571 Week 2 Individual Homework 

                Click Link Below To Buy:

Contact Us:
Hwcoursehelp@gmail.com
Week 2 Homework & Solutions


Week 2 Individual Homework Submit Through Gradebook In Excel

1- Your daughter would like to attend college in 5 years.  You have determined that if you have  $60,000 when she begins college you will be able to pay for her 4 year degree.  You have opportunity to invest at 12%.  How much must you put away in equal annual payments in order to achieve your goal of $60,000 in 5 years?

2- Assuming you have opportunity to invest at 15 percent, which would you prefer, $12,000 today or $27,000 in 5 years?

3- Beginning in 6 years you will receive $12,000 a year for 4 years from a trust.  You plan to retire in 15 years.  How much will you have at that time from the income of this trust if you have opportunity to invest at 8%?

4- Assuming your interest is compounded monthly, how much will $5,000 grow to in 5 years at an interest rate of 10%?

5- You just received an inheritance of $60,000.  You need to have $40,000 in 5 years for your daughters tuition.  You have opportunity to invest at 12%.  You feel an urgent need to spend your cash on a nice car.  How much can you spend on your car today and still be able to fund the $40,000 tuition in 5 years?

         Calculating Interest Rate. Find the annual interest rate for the following:
Present Value    Years                Future Value
$400                             11                     $684
$183                             4                      $249
$300                             7                      $300

         Present Values. What is the total present value of the following cash-flow stream if the interest rate
is 5 percent?
Year Cash Flow
1 $200
2 $400
3 $300
8- Analyze Ratios For Pharmaceuticals.  Rank all companies in order of financial health based on their respective ratios.  Utilize only the ratios that are underlined and bolded in your ranking.



AMGN
PFE
MRK
ABT
LLY
MYL
IVX
Price
High
$/S
72.37
36.92
63.5
47.15
73.89
12.91
24.69
Low
$/S
48.09
27.9
40.57
33.75
53.7
7.45
10.5
P/E
High

42.82
167.83
21.75
26.94
31.18
19.86
49.38
Low

28.46
126.82
13.89
19.29
22.66
11.46
21
Liquidity Ratios
Current Ratio

3.3
1.26
1.2
1.35
1.58
4.62
2.05
Quick Ratio

2.98
1.01
0.94
0.99
1.22
3.73
1.2
Cash/Currrent Assets

0.69
0.4
0.36
0.13
0.42
0.56
0.16
Cash/Current Liabilities

2.28
0.51
0.44
0.17
0.67
2.58
0.32
Cash Flow/Current Liabilities

1.31
0.34
0.83
0.53
0.56
1.18
0.36
Cash Flow/Interest

93.52
38.18

27.56
50.97

4.03
Cash Flow/Assets

0.11
0.07
0.19
0.15
0.14
0.18
0.07
Profitability Measures
Gross Profit Margin
%
41.1
28.7
38.2
17.4
27.8
32.4
13.8
Net Profit Margin
%
27
8.7
29.3
14
20.4
21.5
7
EBIT Margin
%
38.4
12.8
40.3
19.7
26.4
33.6
13.3
Return on Assets
%
16.8
5.5
14.6
15.1
11.8
18.1
6.3
Return on Equity
%
11.7
6
42.3
21.1
26.2
18.8
10.3
EBIT to Assets
%
12.2
4.9
22.3
14.5
15.3
24.4
7.9
Effective Tax Rate
%
28.8
29.1
27.2
26.3
21.5
36.1
31.5
Leverage Ratios
Financial Leverage

3.9
5.9
2
5.9
2.2
1.4
15
Assets/Equity
%
135.01
178.62
260.57
204.37
222
120.66
246.58
Debt/Assets

0.26
0.37
0.52
0.42
0.47
0.17
0.57
Debt/Equity

0.35
0.65
1.35
0.85
1.05
0.21
1.39
Long-Term Debt/Assets

0.12
0.05
0.13
0.13
0.22
0.01
0.36
Long-Term Debt/Equity

0.16
0.09
0.33
0.26
0.48
0.01
0.89
Coverage Ratios
Times Interest Earned

71.73
18.76

18.84
41.98

2.27
Turnover Ratios
A/R Turnover

8.29
4.93
5.59
5.94
5.39
6.77
5.37
Asset Turnover

0.32
0.39
0.55
0.74
0.58
0.73
0.6
Capital Turnover

0.43
0.69
1.44
1.51
1.29
0.88
1.48
Plant Turnover

2.2
2.47
1.59
3.13
1.92
7.12
2.82
Inventory Turnover

4.16
2.91
2.93
4.09
2.56
2.88
2.66
Efficiency Measures
Collection Period
Days
43.4
73
64.4
60.6
66.7
53.2
67
Inventory Stockpile
Days
86.5
123.9
122.7
88
140.6
125.1
135.2
Asset Utilization
Income/Assets

0.09
0.03
0.16
0.1
0.12
0.16
0.04
Income/Plant

0.59
0.22
0.47
0.44
0.39
1.53
0.2
Income/Employee
$K
175.16
32.3
104.27
38.13
55.55
111.16
11.36
Sales/Employee
$K
647.75
370.39
355.79
272.58
272.94
518.04
162.9
Plant/Assets

0.15
0.16
0.35
0.24
0.3
0.1
0.21
Depreciation/Sales

0.08
0.09
0.06
0.06
0.04
0.03
0.95
Depreciation/Assets

0.03
0.03
0.03
0.05
0.03
0.02
0.03





















RANKING









         Number of Periods.How long will it take for $400 to grow to $1,000 at the interest rate specified?
         4 percent
         8 percent
         16 percent

Answers To Week 2 Problems

1- $9,444.36

2- FV= $24,136      PV= $13,424

3-  $85,807

4-  $8226.54

5- PV=$22,697.07   Amount Available = $60,000 – 22,697.07 = $37,302.93

         r = 5%
r = 8%
r = 0%

         P.V. = $812.44

8-      Solution not given.

         In these problems, you can either solve the equation provided directly, or you can use your financial calculator setting PV = (-)400, FV = 1000, PMT = 0, i as specified by the problem. Then compute n on the calculator.

         t = 23.36 periods
         t = 11.91 periods
         t =   6.17 periods


No comments:

Post a Comment