# Finance week 2 | Business & Finance homework help

Finance week 2 | Business & Finance homework help.

Week Two Problem Set

Reminder: Per the instructor’s policies, calculations (on how answers were derived) must be shown for

each of the problems (1-10) below. See Instructor Announcements for sample submission document

1) Your firm has the following balance sheet statement items: total liabilities of \$1,005,000; total assets of \$2,655,000; fixed and other assets of \$1,770,000; and long-term debt of \$200,000. What is the amount of the firm’s total stockholder’s equity?

A) \$3,650,885

B0 \$550,000

C) \$1,650,000

D) \$833,000

2) Delta Corp. reported the following items for the current year: Sales = \$3,000,000; Cost of Goods Sold = \$1,500,000; Depreciation Expense = \$170,000; Administrative Expenses = \$150,000; Interest Expense = \$30,000; Marketing Expenses = \$80,000; and Taxes = \$300,000. Delta Corp.’s gross profit is equal to

A) \$770,000.

B) \$1,070,000.

C) \$1,100,000.

D) \$1,500,000.

3) Delta Corp. reported the following items for the current year: Sales = \$3,000,000; Cost of Goods Sold = \$1,500,000; Depreciation Expense = \$170,000; Administrative Expenses = \$150,000; Interest Expense = \$30,000; Marketing Expenses = \$80,000; and Taxes = \$300,000. Delta Corp. operating income is equal to

A) \$770,000.

B) \$1,070,000.

C) \$1,100,000.

D) \$1,500,000.

4) Use the following information to calculate the company’s accounting net income for the year.

 Sales \$1,300,000 Operating Expenses \$900,000 Accounts Receivable \$1,300,000 Accounts Payable (Beg. of Year) \$150,000 Corporate Tax Rate 40%

A) \$300,000

B) \$240,000

C) \$125,000

D) \$120,000

5) Susannah Stores Inc. has sales of \$4,000,000; the firm’s cost of goods sold is \$2,500,000; and its total operating expenses are \$600,000. What is Susannah Stores Inc., EBIT?

A) \$850,000

B) \$875,000

C) \$900,000

D) \$1,300,000

6) Susannah Stores Inc. has sales of \$4,000,000; the firm’s cost of goods sold is \$2,500,000; and its total operating expenses are \$600,000. The firm’s interest expense is \$250,000, and the corporate tax rate is 40%. What is Susannah Stores Inc., net income?

A) \$288,000

B) \$350,000

C) \$377,000

D) \$390,000

7) Susannah Stores Inc. has sales of \$4,000,000; the firm’s cost of goods sold is \$2,500,000; and its total operating expenses are \$600,000. The firm’s interest expense is \$250,000, and the corporate tax rate is 40%. The firm paid dividends to preferred stockholders of \$40,000, and the firm distributed \$60,000 in dividend payments to common stockholders. What is Susannah Stores Inc., “Addition to Retained Earnings” that would be reflected per the Retained Earnings Statement Balance?

A) \$650,000

B) \$390,000

C) \$330,000

D) \$290,000

8) Conglomerate, Inc. has total current assets of \$1,200,000; total current liabilities of \$500,000; and long-term assets of \$800,000. How much is the firm’s Total Liabilities & Equity?

A) \$2,500,000

B) \$1,300,000

C) \$2,000,000

D) \$1,800,000

9) Conglomerate, Inc. has sales of \$4,250,000; the firm’s cost of goods sold is \$2,500,000; and its total operating expenses are \$600,000. The firm’s interest expense is \$250,000, and the corporate tax rate is 40%. What is Conglomerate, Inc.’s tax liability?

A) \$258,000

B) \$260,000

C) \$360,000

D) \$600,000

10) Use the following information to answer the questions below. In 2004, Bobbalee, Inc. expects operating income (earnings before interest and taxes) of \$18,000,000. In addition, the corporation has \$20,000,000 of debt outstanding with a 10 percent interest rate and will pay \$1,000,000 in dividends to its common stockholders. Assume that Bobbalee will receive no other sources of income during 2004. Bobbalee’s s taxable income for 2004 will be:

A) \$18,000,000.

B) \$17,000,000.

C) \$16,000,000.

D) \$15,000,000.

Finance week 2 | Business & Finance homework help

Pages (275 words)
Standard price: \$0.00
Client Reviews
4.9
Sitejabber
4.6
Trustpilot
4.8
Our Guarantees
100% Confidentiality
All your data is secure and will never be disclosed to third parties. Your essay or assignment is treated as your intellectual property and can never be shared or provided as a sample to aspiring customers.
Original Writing
We complete all papers from scratch. You can get a plagiarism report.
Timely Delivery
You will never have to worry about deadlines – 98% of our assignments are completed on time.
Money Back
We give refunds anytime you feel the work did not meet your expectations. However, we have not refunded any papers in the last 6 months as our team keeps improving their quality and customer service.

## Calculate the price of your order

You will get a personal manager and a discount.
We'll send you the first draft for approval by at
Total price:
\$0.00