FIN 515 Education for Service--snaptutorial.com

1
FIN 515 Education for Service--snaptutorial.com
2
FIN 515 Education for Service--snaptutorial.com
FIN 515 Complete Project Financial Statement
Analysis (Nike) For more classes
visit www.snaptutorial.com   FIN 515 Week 2
Project Financial Statement Analysis (Nike) FIN
515 Week 3 Project Financial Statement Analysis
(Nike) FIN 515 Week 6 Project Calculating the
Weighted Average Cost of Capital (Nike) FIN 515
Week 7 Project Capital Budgeting Analysis (Nike)
3
FIN 515 Education for Service--snaptutorial.com
FIN 515 Course Project 1 and 2 For more classes
visit www.snaptutorial.com   This Tutorial
contains Week 3 Course Project (3 Sets) Week  6
Course Project (2 Sets)  
4
FIN 515 Education for Service--snaptutorial.com
FIN 515 Entire Course For more classes
visit www.snaptutorial.com   Week 1 Homework
Problems and Mini Case Week 2 Homework
Assignment Problems Week 3 Homework Assignment
Problems Week 3 Homework Problems 5-1, 5-2, 5-6
Week 4 Homework Problems page 297, 371 Week 4
Midterm Business Valuation and Stock Valuation
Week 5 Homework Problem10-8,10-9,11-2,11-3 Week
5 Project Case 11-7-New-Project Analysis Week 6
Homework Problem12-1,13-2,13-3,13-4
5
FIN 515 Education for Service--snaptutorial.com
FIN 515 Final Exam (all 3 Sets) For more
classes visit www.snaptutorial.com   FIN 515 Final
 Exam Set 1 FIN 515 Final Exam Set 2 FIN 515 Final
 Exam Set 3
6
FIN 515 Education for Service--snaptutorial.com
FIN 515 Final Exam Set 1 For more classes
visit www.snaptutorial.com   1. (TCO A) In the
United States, which of the following types of
organization has the greatest revenue in total?
(Points 5)a. Sole proprietorshipb. C
corporationc. S corporationd. Limited
partnership
7
FIN 515 Education for Service--snaptutorial.com
FIN 515 Final Exam Set 2 For more classes
visit www.snaptutorial.com   Question 1.1. (TCO
A) Double taxation is a drawback for which of the
following types of business organization
except?  Question 2.2. (TCO A) Sole
proprietorships have all of the following
advantages except  Question 3.3. (TCO B) Which of
the following would cause the present value of an
annuity to decrease? 
8
FIN 515 Education for Service--snaptutorial.com
FIN 515 Final Exam Set 3 For more classes
visit www.snaptutorial.com   1. (TCO A) In the
United States, which of the following types of
organization has the greatest revenue in total?
(Points 5)        Sole proprietorship        C
corporation        S corporation        Limited
partnership Question 2.2. (TCO A) A sole
proprietorship is owned by (Points 5)       
one person.        one or two people, but if
there are two owners, they must be married to
each other.        up to 100 owners.
9
FIN 515 Education for Service--snaptutorial.com
FIN 515 Midterm Exam All 3 Sets   For more
classes visit www.snaptutorial.com   Question
included in these Midterms could be found on this
link     FIN 515 Midterm Exam Set 1
(New) Linkhttp//www.snaptutorial.com/FIN-515/FIN
-515-Midterm-Exam-Set-1-(New)   FIN 515 Midterm
Exam Set 2 (New) Linkhttp//www.snaptutorial.com/
FIN-515/FIN-515-Midterm-Exam-Set-2-(New)  
10
FIN 515 Education for Service--snaptutorial.com
FIN 515 Midterm Exam Set 1 (New) For more
classes visit www.snaptutorial.com   Question
1.      Question         (TCO G) If Company A
and Company B are in the same industry and use
the same production method, and Company As asset
turnover is higher than that of Company B, then
all else equal we can conclude   Question 2.     
Question         (TCO G) Suppose Novak Company
experienced a reduction in its ROE over the last
year. This fall could be attributed to  Question
3.      Question         (TCO B) A certain
investment will pay 10,000 in 20 years. If the
annual return on comparable investments is 8,
what is this investment currently worth? Show
your work.
11
FIN 515 Education for Service--snaptutorial.com
FIN 515 Midterm Exam Set 2 (New) For more
classes visit www.snaptutorial.com   Question 1.
1. (TCO G) If Company A and Company B are in the
same industry and use the same production method,
and Company As asset turnover is higher than
that of Company B, then all else equal we can
conclude (Points 10)   Question 2. 2. (TCO G)
If Moon Corporation has an increase in sales,
which of the following would result in no change
in its EBIT margin? (Points 10)
12
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 1 DQ 1 Accounting Versus Finance
For more classes visit www.snaptutorial.com   Acc
ounting Versus Finance (graded) Much of the
analysis done by financial managers is based on
numbers that are different from what would seem
to the corresponding numbers presented in the
financial statements. This difference is not due
to any kind of cooking the books or other
attempts to mislead anyone. One example is the
use of market value rather than historical cost
in the valuation of assets. What are some other
examples of the differences between financial
management and financial accounting?
13
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 1 DQ 2 Financial Analysis For more
classes visit www.snaptutorial.com   Financial
Analysis (graded) In this discussion, we will be
working with the variety of financial analysis
tools available to us. Let's start with the
DuPont Identity introduced in Chapter 2 of the
text. For your initial post, locate the financial
statements for two firms in one industry.
Calculate all four terms of the DuPont Identity
and present the results but do not analyze the
results. For an additional post, analyze the
results that another student has posted. If you
were the appropriate financial manager of one of
the firms that you analyzed, what would be your
observations and recommendations?
14
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 1 Homework Problem For more
classes visit www.snaptutorial.com   Week 1 Mini
Case   Assume that you recently graduated and
have just reported to work as an investment
advisor at the brokerage firm of Balik and Kiefer
Inc. One of the firms clients is Michelle
DellaTorre, a professional tennis player who has
just come to the United States from Chile.
DellaTorre is a highly ranked tennis player who
would like to start a company to produce and
market apparel she designs. She also expects to
invest substantial amounts of money through Balik
and Kiefer.
15
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 1 Problem Set For more classes
visit www.snaptutorial.com   Chapter 1 The
Corporation 1-1.      What is the most important
difference between a corporation and all other
organizational forms? 1-2.      What does the
phrase limited liability mean in a corporate
context? 1-3.      Which organizational forms
give their owners limited liability? 1-4.     
What are the main advantages and disadvantages of
organizing a firm as a corporation? 1-5.     
Explain the difference between an S corporation
and a C corporation.
16
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 1 Quiz For more classes
visit www.snaptutorial.com   Question 1 (TCO G)
Which do you think provides a more valid measure
of how a company is doing, comparison of current
results with historical results or comparison of
current results with the current results of
another company? Question 2 (TCO G) Barnes Corps
total assets at the end of last year were
415,000,000 and its net income after taxes was
17,750,000. What was its return on total
assets? Question 3
17
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 1-7 DQs For more classes
visit www.snaptutorial.com   FIN 515 Week 1 DQ 1 A
ccounting Versus Finance FIN 515 Week 1 DQ 2 Finan
cial Analysis FIN 515 Week 2 DQ 1 TVM Pass-a-Probl
em FIN 515 Week 2 DQ 2 Assumptions of the TVM Mode
l  FIN 515 Week 3 DQ 1 Examples of Capital Expendi
ture From Your Industry FIN 515 Week 3 DQ 2 Capita
l Budgeting Terms and Considerations
18
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 2 DQ 1 TVM Pass-a-Problem For more
classes visit www.snaptutorial.com   TVM
Pass-a-Problem (graded)            This week,
the lecture provided some examples of TVM problem
scenarios. For your first post, provide a story
problem that can be solved using one or more of
the TVM calculations.            Your second
post can be a description of how the problem
posed by another student can be solved. Your
professor may provide an example.
19
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 2 DQ 2 Assumptions of the TVM
Model For more classes visit www.snaptutorial.com
  Assumptions of the TVM Model (graded) What are
some of the assumptions behind the TVM
calculations? How do these assumptions limit our
application of these calculations?
20
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 2 Homework Problems   For more
classes visit www.snaptutorial.com   FIN 515 Week
2 Homework Problems   (3-1) Days Sales
Outstanding Greene Sisters has a DSO of 20 days.
The companys average daily sales are 20,000.
What is the level of its accounts receivable?
Assume there are 365 days in a year.  
21
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 2 Problem Set   For more classes
visit www.snaptutorial.com   3.Calculate the
future value of 2000 in a. five years at an
interest rate of 5 per year b. ten years at an
interest rate of 5 per year and c. five years
at an interest rate of 10 per year. d. Why is
the amount of interest earned in part (a) less
than half the amount of interest earned in part
(b)?
22
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 2 Project Financial Statement
Analysis (Nike) For more classes
visit www.snaptutorial.com   As the new financial
manager of your company, the CEO has asked your
team to provide a brief analysis of the companys
performance to present at the upcoming board of
directors meeting. The CEO has asked that you
assess the companys performance against your
companys industry. Thus, to do this, you will
need to use ratio analysis or other techniques to
determine areas in which the company is doing
well, as well as areas that management should
look at.
23
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 2 Quiz For more classes
visit www.snaptutorial.com   FIN 515 Week 2
Quiz Question 1 (TCO B) You are a trust fund
baby. Your trust fund is currently worth
1,234,000. The problem is the terms of the trust
dont allow you to receive any of the money until
you are 27. You are now 21. The fund is earning
7.7 per year. How much will the fund be worth
when you are 27 and too old to enjoy it?
24
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 Course Project 1 (3 Papers) For
more classes visit www.snaptutorial.com   This
Tutorial contains 3 Different Course
Projects   First Course Project The purpose of
this project is to help you develop skills not
only in performing the calculations behind
financial analysis but interpreting the numbers
as well.You are to pick a company. You should
pick one either from the industry in which you
are currently working or an industry in which you
are interested. You could also pick a division of
a company.
25
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 DQ 1 Examples of Capital
Expenditure From Your Industry For more classes
visit www.snaptutorial.com   FIN 515 Week 3 DQ 1
Examples of Capital Expenditure From Your
Industry (graded) Describe a potential capital
expenditure project from the industry in which
you now work or an industry in which you are
interested. What is the project? Describe and
provide an approximate value of the initial cash
flow. Describe and provide an approximate value
of the annual cash flows. Provide an estimation
of the life of the project, as well as the exit
costs.
26
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 DQ 2 Capital Budgeting Terms and
Considerations For more classes
visit www.snaptutorial.com   Capital Budgeting
Terms and Considerations Our textbook and lecture
discuss some considerations that should be taken
into account when doing capital budgeting. How
will these considerations affect the project you
described in the other topic? Incremental
earnings, interest expenses, taxes, opportunity
costs, externalities, sunk costs, cannibalization
or erosion, depreciation, and salvage value as
well as others.
27
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 Homework Problems For more
classes visit www.snaptutorial.com   FIN 515 Week
3 Homework Problems     5-1 Bond Valuation with
Annual payments Jackson Corporations bonds have
12 years remaining to maturity. Interest is paid
annually, the bonds have a 1,000 par value, and
the coupon interest rate is 8. The bonds have a
yield to maturity of 9. What is the current
market price of these bonds?
28
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 Problem Set For more classes
visit www.snaptutorial.com   Week 3 Problem
Set 1. Your brother wants to borrow 10,000 from
you. He has offered to pay you back 12,000 in a
year. If the cost of capital of this investment
opportunity is 10, what is its NPV? Should you
undertake the investment opportunity? Calculate
the IRR and use it to determine the maximum
deviation allowable in the cost of capital
estimate to leave the decision unchanged. 8. You
are considering an investment in a clothes
distributor. The company needs 100,000 today and
expects to repay you 120,000 in a year from now.
29
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 Project Financial Statement
Analysis (Nike) For more classes
visit www.snaptutorial.com   Continuing with your
Week 2 Project, now your CEO after reviewing your
earlier Week 2 PowerPoint submission has asked
your team to complete an additional benchmark
analysis task, before the upcoming Board Meeting.
For this part of the project your team needs to
do an analysis of the market and operational
characteristics of your company and its financial
profile. For this project, your team will need to
select four companies that are direct competitors
of your company. This sample selection should be
based on revenue, profitability, market
capitalization, market segment and product
characteristics.
30
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 3 Quiz For more classes
visit www.snaptutorial.com   Company A has a beta
of 2.77. Company B has a beta of .73. Company C
has a beta of .90. The risk free rate is 6 and
the market risk premium is 4. What is the
expected return of investing in Company B? 
31
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 4 DQ 1 Market Value of a Stock
Versus DDM Value For more classes
visit www.snaptutorial.com   Market Value of a
Stock Versus DDM Value (graded) Select a stock in
which you are interested. Calculate its per share
value using the DDM or another method discussed
in Chapter 9. Then find the current market value
of a share of the stock. Compare that two. Can
you explain the similarity or difference?  
32
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 4 DQ 2 Differences in YTM of Real
Life Bonds For more classes visit www.snaptutori
al.com   Differences in YTM of Real Life Bonds
(graded)   Do some research, probably on the Web,
and find some bonds with differing yields to
maturity (YTM). How do you explain the
difference? Both the lecture and the textbook
discuss some factors that may lead to this
difference.
33
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 4 Homework Problems   For more
classes visit www.snaptutorial.com   (6-5). Expect
ed Return Discrete Distribution                  
                                                  
                                                  
                          A stocks return has
the following distribution                       
                                                  
                                                  
                 
34
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 4 Midterm For more classes
visit www.snaptutorial.com   Question 1. Question
(TCO G) The firm's asset turnover
measures Question 2. Question (TCO G) If Moon
Corporation has an increase in sales, which of
the following would result in no change in its
EBIT margin? Question 3.
35
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 4 Problem Set For more classes
visit www.snaptutorial.com   Bonds-1. Interest on
a certain issue of bonds is paid annually with a
coupon rate of 8. The bonds have a par value of
1,000. The yield to maturity is 9. What is the
current market piece of these bonds? The bonds
will mature in 5 years. Bonds-2. A certain bond
has 12 years left to maturity. Interest is paid
annually at a coupon rate of 10. The bonds are
currently selling for 850. What is their
YTM? Bonds-3.  A certain bond pays a semiannual
coupon rate at a 10 annual rate. The bond has a
par value of 1,000. There are eight years to
maturity. The yield to maturity is 9. What is
the current price of the bond?
36
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 5 DQ 1 Calculating WACC for a Real
Firm For more classes visit www.snaptutorial.com
  Calculating WACC for a Real Firm (graded) The
Weighted Average Cost of Capital (WACC) for a
firm can be calculated or found through research.
Select two firms in the same industry. The
industry may be that in which you currently work
or it may be an industry in which you are
interested. Calculate or find the WACC for the
two firms. How do the WACCs compare? Are the
WACCs what you would expect? What causes the
differences between the two firms' WACCs?
37
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 5 DQ 2 Finding Stock Values for Real
Stocks Using Beta and the SML For more classes
visit www.snaptutorial.com   Finding Stock Values
for Real Stocks Using Beta and the SML
(graded) Our second discussion topic concerns the
calculation of stock values using the Capital
Asset Pricing Model (CAPM). We will start with a
discussion of risk and work towards practical
application of the model. The textbook provides a
list of betas for a selection of stocks. Choose a
few firms from that list and discuss whether the
betas are what you would expect. Be sure to
explain why or why not.
38
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 5 Homework Problems For more classes
visit www.snaptutorial.com   (10-8) NPVs, IRRs,
and MIRRs for Independent Projects Edelman
Engineering is considering including two pieces
of equipment, a truck and an overhead pulley
system, in this years capital budget. The
projects are independent. The cash outlay for the
truck is 17,100 and that for the pulley system
is 22,430. The firms cost of capital is 14.
After-tax cash flows, including depreciation, are
as follows
39
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 5 problem Set For more classes
visit www.snaptutorial.com   Chapter 10 (pages
345348) 4. You bought a stock one year ago for
50 per share and sold it today for 55 per
share. It paid a 1 per share dividend
today. a.      What was your realized
return? b.     How much of the return came from
dividend yield and how much came from capital
gain? 20. Consider two local banks. Bank A has
100 loans outstanding, each for 1 million, that
it expects will be repaid today. Each loan has a
5 probability of default, in which case the bank
is not repaid anything.
40
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 5 Quiz For more classes
visit www.snaptutorial.com   Question 1 (TCO C)
Company A has a beta of 2.77. Company B has a
beta of .73. Company C has a beta of .90. The
risk free rate is 6 and the market risk premium
is 4. What is the expected return of investing
in Company B? Show your work. Question 2.  (TCO
C) Your stock portfolio consists of only two
stocks. You have 30,000 in Company A and 35,000
in Company B. Company A has an actual return of
-8 and Company B has a return of 12. What is
the return on your portfolio? Show your work.
41
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 6 Course Project 2 (2 Different
Projects) For more classes visit www.snaptutoria
l.com   This Tutorial contains 2 Different Course
Projects   Second ProjectThe purpose of this
project is for you to have some practice working
with financial concepts in the real world. This
will involve integrating some material from
throughout the course. The project will also
involve the development of your own approach to
doing the work. The project does not provide a
step-by-step procedure for you to follow.
42
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 6 DQ 1 Examples of Real Agency
Problems and How They Could Have Been Prevented
For more classes visit www.snaptutorial.com   Exa
mples of Real Agency Problems and How They Could
Have Been Prevented (graded) Do some research and
find some historical or current real life
examples of agency problems. Will the measures
discussed in the text help to prevent problems
like your examples in the future?
43
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 6 DQ 2 The Role of Financial
Managers in Ethical Corporate Governance For
more classes visit www.snaptutorial.com The Role
of Financial Managers in Ethical Corporate
Governance (graded) Does the financial manager
have a greater responsibility or a lesser
responsibility for maintaining ethical corporate
governance? Why or why not? What is or will be
your approach to ethical corporate governance now
or in the future?
44
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 6 Homework Problems For more
classes visit www.snaptutorial.com   Week
6   (121)   AFN Equation   Baxter Video
Productss sales are expected to increase by 20
from 5 million in 2010 to 6 million in 2011.
Its assets totaled 3 million at the end of 2010.
Baxter is already at full capacity, so its assets
must grow at the same rate as projected sales.
45
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 6 Problem Set For more classes
visit www.snaptutorial.com   Chapter 29 (pages
983-984)       1.What inherent characteristic of
corporations creates the need for a system of
checks on manager behavior?       2. What are
some examples of agency problems?  
46
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 6 Project Calculating the Weighted
Average Cost of Capital (Nike) For more classes
visit www.snaptutorial.com   Once again, your
team is the key financial management team for
your company. The companys CEO is now looking to
expand its operations by investing in new
property, plant, and equipment. In order to
effectively evaluate the projects effectiveness,
you have been asked to determine the firms
weighted average cost of capital. To determine
the cost of capital, here is what you have been
asked to do.
47
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 7 DQ 1 Industry Approaches to
Working Capital Financing For more classes
visit www.snaptutorial.com   Industry Approaches
to Working Capital Financing (graded) Do some
research on two firms in your industry or an
industry in which you are interested. Can you get
an idea of their working capital management
policies from publicly available information? How
do the two companies differ in their apparent
working capital management policies? Which policy
do you think is better and why?
48
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 7 DQ 2 Your Preference for Working
Capital Management Policy For more classes
visit www.snaptutorial.com   Your Preference for
Working Capital Management Policy
(graded) Consider the company you work for or a
company in which you are interested. Also, do
some research to find some current cost estimates
for various means of financing working capital.
49
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 7 Homework Problems For more classes
visit www.snaptutorial.com   Week 7 (16-1) Cash
Management Williams Sons last year reported
sales of 10 million and an inventory turnover
ratio of 2. The company is now adopting a new
inventory system. If the new system is able to
reduce the firms inventory level and increase
the firms inventory turnover ratio to 5 while
maintaining the same level of sales, how much
cash will be freed up?
50
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 7 Problem Set For more classes
visit www.snaptutorial.com   Chapter 26 (page
903) 1. Answer the following questions a. What
is the difference between a firms cash cycle and
its operating cycle? 2.     How will a firms
cash cycle be affected if a firm increases its
inventory, all else being equal?
51
FIN 515 Education for Service--snaptutorial.com
FIN 515 Week 7 Project Capital Budgeting Analysis
(Nike) For more classes visit www.snaptutorial.com
  Once again, your team is the key financial
management team for your company. The companys
CEO is now looking to expand its operations by
investing in new property, plant, and equipment.
Your team recently calculated the WACC for your
company, which will now be useful in evaluating
the projects effectiveness. You are now asked to
do some capital budgeting analysis that will
determine whether the company should invest in
these new plant assets.
52
FIN 515 Education for Service--snaptutorial.com