Calculate the shareholders’ equity from the given information

1. Calculate the shareholders’ equity from the given information:
   

   Cash	$2,155
   A/R	$3,142
   Notes Payable	$382
   Long-term Debt	$8,232
   Net Fixed Assets	$18,091
   A/P	$2,146
   Inventory	$5,096

   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

 

 

1 points

 

Question 2

 

 

1. Based on the following information, Compute the transfer to Retained Earnings for Year 2006. Assume a tax rate of 34%.

   	Year 2006
   Sales	$4800
   Depreciation	577
   COGS	1582
   Other Expenses	580
   Interest	769
   Cash	2107
   A/R	2789
   Short-term Notes Payable	407
   Long-term Debt	7056
   Net Fixed Assets	17669
   A/P	2213
   Inventory	4959
   Dividends	612

   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

 

 

1 points

 

Question 3

 

 

1. ABC’s EBIT is $6 million. The depreciation expense is $0.5 million and interest expense is $0.5 million. The corporate tax rate is 30%. The company has 7 million in operating current assets and $3 million operating current liabilities. It has $12 million in net plant and equipment. The after-tax cost of capital (WACC) is 12%. Assume that the only non-cash item is depreciation. The total net operating capital last year was $15 million.
   What was the company’s economic value added (EVA)?
   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $1,200,000.345 then enter as(NNN) NNN-NNNN35 in the answer box.

 

 

1 points

 

Question 4

 

 

1. ABC company had a taxable income of $195,731 from operations after all operating costs but before interest charges of $51,025, dividends received of $71,468, dividends paid of $5,000, and . What is the firm’s income tax liability?
   Hint: use the tax table to compute taxes. tax 36 %
   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

 

 

1 points

 

Question 5

 

 

1. ABC recently reported $44,852 of sales, $13,789of operating costs other than depreciation, and $5,147 of depreciation. The company had no amortization charges and no non-operating income. It had $8,000 of bonds outstanding that carry a 8% interest rate. How much was the firm’s taxable income, or earnings before taxes (EBT)?
   Hint: Interest rate = Bonds outstanding * interest rate
   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

 

 

1 points

 

Question 6

 

 

1. ABC company had a taxable income of $510,902 from operations after all operating costs but before interest charges of $56,862, dividends received of $40,361, dividends paid of $10,000, and income taxes. What is the firm’s income tax liability?
   Hint: use the tax table to compute taxes.
   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

 

 

1 points

 

Question 7

 

 

1. The dividend payments are tax-deductible.

   True
   False

 

 

1 points

 

Question 8

 

 

1. ABC company had a taxable income of $583,895 from operations after all operating costs but before interest charges of $55,955, dividends received of $45,959, dividends paid of $10,000, and income taxes. What is the firm’s after-tax income?
   Hint: first use the tax table to compute taxes before calculating the after-tax income.
   Note: Enter your answer rounded off to two decimal points. Do not enter $ in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box