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A stock’s market price will equal its intrinsic value if all investors have all the publicly available information about the stock.

Austin Aeronautics had $85,000 in cash at year-end 2014 and $255,000 in cash at year-end 2015. The firm sold property, plant, and equipment totaling $50,000. Cash flow from financing activities totaled +$30,000. a. What was the cash flow from operating activities? b. If accruals decreased by $25,000, receivables and inventories together increased by $120,000, and depreciation and amortization totaled $10,000, what was the firm’s net income?

Everett Enterprises recently reported the following information:   Net income                                                        $ 620,000 ROA                                                                              9% Interest expense                                               $ 325,000 Accounts payable and accruals                       $500,000         Everett’s tax rate is 48%. Everett finances with only debt and common equity, so it has no preferred stock. 70% of its total invested capital is debt, and 30% 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)

If Adams Corp issued new stock through a Dutch Auction where they needed to sell 100 shares of stock, based on the below bids, at what price would the stock sell?   Bid Price ($) Number of Shares Investor A 92 35 Investor B 77 80 Investor C 83 100 Investor D 86 20 Investor E 89 62

3.3 Watter taalverskynsel is die onderstreepte woord in paragraaf 3. (1)

AFDELING C VRAAG 3: INSTRUKSIES: Bestudeer die onderstaande TEKS E hieronder en beantwoord die vrae wat volg. Kliek op die knoppie om teks E in ‘n nuwe “tab” oop te maak.      HOND MAAK MOLES 1. ’n Motorkar het op die gras gegly toe die bestuurder vir ’n hond uitgeswaai het. 2. In die proses het hy teen ’n tamaai groot boom gebots.  ’n Medepassasier het dood              verongeluk. 3. Die bestuurder het by homself gedink dat hy onmiddellik hulp moes kry. Gelukkig het ’n klong     op ’n baiesukkel verbygery en hy kon hom vra om hulp te gaan soek. 4. ’n Tante het opgedaag en geprobeer om die bestuurder met ’n koppie suikerwater te kalmeer.       Daarna het sy haar sellulêre telefoon uitgepluk en ’n taxi ontbied. 5. Gelukkig het die petalje goed afgeloop. Die motor was verassureer en die man het die tante vir     ’n cuppucino en  soesji geneem.  En die brakhond?  Vir hom was daar ’n peuselhappie…  

Compare the following two bonds only:   Bond Alpha is a Aaa rated 30-year corporate bond with low trading volume    Bond Beta is a Aaa rated 15-year corporate bond with high trading volume   Relative to Bond Beta, Bond Alpha faces a higher:  

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 longer period of time.

Everett Enterprises recently reported the following information:   Net income                                                        $ 520,000 ROA                                                                              7% Interest expense                                               $ 325,000 Accounts payable and accruals                       $500,000         Everett’s tax rate is 30%. Everett finances with only debt and common equity, so it has no preferred stock. 60% of its total invested capital is debt, and 40% 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)

AFDELING C VRAAG 5: TAALSTRUKTURE EN -KONVENSIES Kliek op die blokkie hieronder vir TEKS G om dit in ‘n ander “tab” oop te maak en beantwoord dan die vrae wat volg: