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When creating a cashflow statement, a decrease in accounts receivables is subtracted from net income in the operating activities section.

Everett Enterprises recently reported the following information:   Net income                                                        $ 720,000 ROA                                                                              9% Interest expense                                               $ 325,000 Accounts payable and accruals                       $500,000         Everett’s tax rate is 45%. Everett finances with only debt and common equity, so it has no preferred stock. 20% of its total invested capital is debt, and 80% of its total invested capital is common equity. a. Calculate its operating return on assets (OROA), its return on equity (ROE), and its return on invested capital (ROIC). b. Describe the effect of increasing debt on ROE  (assume total invested capital remains constant)

Most nights, Haleh finds herself tossing and turning in bed unable to sleep. Most days, Jonathan suddenly and unexpectedly falls asleep at work, seemingly out of nowhere.  Haleh may be experiencing _____; Jonathan may be experiencing _____.

Maxwell Coffee Group recently reported an EBITDA of $6 million and net income of $2.2 million. It had $1.2 million of interest expense, and its corporate tax rate was 44%. What was its charge for depreciation and amortization?

In order to reduce the conflict of interest between stockholders and managers a company could change manager stock options so that they vest over a shorter period of time.

If Jackson is trying to identify the color of a bird in a well-lit area, for his field experiment, what part of the eye would be activated?

Given the following term structure and assuming the unbiased expectation theory holds, answer the following questions (round to the nearest .000001 or 6 decimals):         Term Structure of Treasury Securities  Year          Yield %     1                3.0     2                3.4     3                3.6     4                3.9     5                3.2     6                4.4   a. What is the 5-year rate 1 years from today?     b. What is the 2-year rate 3 years from today?

When distributing new stock through a best efforts process, the investment banker does not serve as an underwriter for the issue.

The more capital a firm is likely to require, the lower the probability that it will be organized as a corporation because of double taxation.

In a statement of cashflows dividends are excluded because they are not considered an operating activity.