Author Question: Smith Manufacturing Inc expects the following results in year one of a new project: Revenue 400,000 ... (Read 58 times)

tingc95

  • Hero Member
  • *****
  • Posts: 556
Smith Manufacturing Inc expects the following results in year one of a new project:
  Revenue 400,000
  Cash Expenses 150,000
  Depreciation 90,000
  EBIT 160,000
  Taxes 48,000
  Net Income 112,000
  The annual change in operating cash flow is equal to
 
  A) 160,000. B) 250,000. C) 298,000. D) 202,000.

Question 2

Cost of capital is commonly used interchangeably with all of the following terms EXCEPT
 
  A) the internal rate of return for new investments.
  B) the hurdle rate for new investments.
  C) the firm's opportunity cost of funds.
  D) the firm's required rate of return.


ndhahbi

  • Sr. Member
  • ****
  • Posts: 390
Answer to Question 1

D

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Astigmatism is the most common vision problem. It may accompany nearsightedness or farsightedness. It is usually caused by an irregularly shaped cornea, but sometimes it is the result of an irregularly shaped lens. Either type can be corrected by eyeglasses, contact lenses, or refractive surgery.

Did you know?

Amphetamine poisoning can cause intravascular coagulation, circulatory collapse, rhabdomyolysis, ischemic colitis, acute psychosis, hyperthermia, respiratory distress syndrome, and pericarditis.

Did you know?

To combat osteoporosis, changes in lifestyle and diet are recommended. At-risk patients should include 1,200 to 1,500 mg of calcium daily either via dietary means or with supplements.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Did you know?

Amphetamine poisoning can cause intravascular coagulation, circulatory collapse, rhabdomyolysis, ischemic colitis, acute psychosis, hyperthermia, respiratory distress syndrome, and pericarditis.

For a complete list of videos, visit our video library