Calculating Tax Cost Microtech Software Corporation (MSC) was founded in 2001. The founder, Chan Li, studied at MIT and worked for a large software corporation before returning to his hometown, Centervale, to set up his own company. The corporate tax rate structure applicable in Centervale is as follows:   Taxable Income Tax Rate   Up to $50,000 15 percent   From $50,001 through $150,000 22 […]

Cash for Clunkers: A clunker that travels 12,000 miles a year at 15 mpg uses 800 gallons of gas a year. A vehicle that travels 12,000 miles a year at 25 mpg uses 480 gallons a year. The government claims 700,000 vehicles were exchanged so that’s 224 million gallons saved per year. That equates to a bit over 5 million barrels of oil. To put […]

Case Exercise I – Build-It Home Improvement Stores, Sweden Read the case found at the end of Chapter 2 in your textbook and write a two- to three-page paper (excluding title and reference pages), according to APA style guidelines, on the following items. Develop service concepts that Bert Nystrom should deliver in Build-it stores. Describe the operational challenges he faces in delivering these services. Use […]

Assignment 1: Chapter 2 Mini Case – “Financial Statement and Cash Flow Analysis” (Due Week 4 and worth 320 points) You are to write a six to ten (6-10) page report that responds to the following: Part A: Use the financial statements in the text to determine the following for Jaeden Industries. 1. Calculate Jaedan’s free cash flow (please show your work – equations and […]

    14. (1)    According to http://finance.yahoo.com, “Key Statistics”, what are the given values of CAT’s “Market Cap (for equity)” E and “Total Debt” D, respectively?  And thus what shall be CAT’s “weight of equity capital, We” and “weight of debt capital, Wd”, respectively?       Hints: For example, if a firm’s reported “Market Cap” is $75 billion, “Total Debt” is $25 billion, […]

RESPOND TO EACH OF THESE  DISCUSSION QUESTIONS & NUMBER ANSWERS ACCORDINGLY   (Response 160 words each)   F36a.  Mortgage Crisis Reasons and Refinancing   Following is a summary of one of the things that happened to cause the mortgage crises. People were buying houses for which they couldn’t afford the payment on a fixed mortgage, so they opted for an ARM that had a lower rate […]

Which description best fits Digby in your industry? For clarity:– A differentiator competes through good designs, high awareness, and easy accessibility.– A cost leader competes on price by reducing costs and passing the savings to customers.– A broad player competes in all parts of the market.– A niche player competes in selected parts of the market.Which of these four statements best describes this competitor?Select: 1Digby […]

What are your opinions on the use of NPV vs IRR in making capital allocation decisions?  Please be specific.   Discuss the various approaches to revenue and earnings estimation and present your opinions on when to apply each method   Write a short piece on the pros and cons of using CAPM, Dividends Discounted Model and Earning Cap Models in calculating Cost of Equity

     Please use the project from Assignment 1 to complete this assignment, which requires that you provide  the necessary scope for your project.         Assignment 1 will be mailed to you via email once we handshake        A project scope includes many variables. The Work Breakdown Structure (WBS) must be defined prior to  the start of the project to ensure […]

1) The following procedure is recommended when creating financial statements in Excel, in order to minimize error and make the statements easier to read when provided to others:a) Use custom number formatsb) Make excel do as little work as possible by avoiding the use of formulasc) Use as many fonts and colors as possible in order to separate line items and subheadingsd) Hide data you do not want others to […]