15 There were no share issues or stock repurchases during th

15. There were no share issues or stock repurchases during the year. How much did the firm pay in dividends? A. 4 B. 8 C. 10 D. 12 It also reported $400 16. A firm reported $130 million increase in cash over a year w. from operations, and a net $75 million paid out to claimants in financing activities. How much did the firm invest in investing? A. 530 B. 170 C. 195 D. 225 17. The shares of Nike, Inc, traded at $55 per share at the beginning of fiscal year 2008 and closed at $67 per share at the end of the year. Nike paid a dividend of 87.5 cents per share during the year. What was the return to holding Nike\'s shares during 2008? A. 23.41% B. 12.87% C. 87.5% D. zero 18. A firm with a return on common equity (ROCE) of 20% has financial leverage of 40% and a net after-tax borrowing cost of 3% on S240 million of net debt. What rate of return does this firm earn on its operations? A. 15.14% B. 17, 1896 C. 23.18% D. 30.25% 19. A firm reported 7000S Operating income (OI) for year 2017 is, net operating assets (NOA) 8000S for year 2017, and net operating assets (NOA) 10000S for year 2016 is, What was the firm\'s Free cash flow for year 2017? A. 2000 B. 4000 C. 5000 D. 9000

Solution

Question 15 – Please provide completed data to answer this question.

Question 16 – The Correct Option is C. $195

Explanation:

We need to understand each line given in the question.

Firm reported $130 million increase in cash over a year. It means whatever the beginning cash balance was in the firm at the beginning of the year, there were an increase of $130 million in ending balance of cash.

Calculation of how much did the firm invest in investing activities

Cash Flow from Operation

$400 Million

(-) Cash used in financing activities

($75 Million)

Net Cash Available

$325 million

(-) Increase in Cash over the period

($130 Million)

Net Cash Available to Invest in Investing Activities

$195 Million

Hence, the correct option is C. $195

Question 17 --- The correct option is A. 23.41%

We need to understand the meaning of Holding Period and Holding Period Return..

- The holding period is the investment period.

- Return over the holding period is known as holding period return

- It is the % return of total holding period and not for one year period.

Holding Period Return = Receipt of Dividend or Interest + (Value of Share at the end of holding period – Share Value at the beginning of holding period) / Value of Share at beginning of Holding Period x 100

= ($0.875 + ($67 - $55)) / $55 x 100

= 23.41%

The return to holding Nike’s shares during 2008 is 23.41%

Hence, the correct option is A. 23.41%

Hope the above calculations, working and explanations are clear to you and help you in understanding the concept of question.... please rate my answer...in case any doubt, post a comment and I will try to resolve the doubt ASAP…thank you

Pls ask separate question for remaining parts.

Cash Flow from Operation

$400 Million

(-) Cash used in financing activities

($75 Million)

Net Cash Available

$325 million

(-) Increase in Cash over the period

($130 Million)

Net Cash Available to Invest in Investing Activities

$195 Million

 15. There were no share issues or stock repurchases during the year. How much did the firm pay in dividends? A. 4 B. 8 C. 10 D. 12 It also reported $400 16. A
 15. There were no share issues or stock repurchases during the year. How much did the firm pay in dividends? A. 4 B. 8 C. 10 D. 12 It also reported $400 16. A

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