DRILLS PROBLEM SOLVING CHAPTER4 183 responses SECTION 0 copy 183 responses @ BSMA 34 @ BSMA 32 @ esac 21 @ esac 22 ‘SECTION 1 PROBLEM FORECASTING FILENAME :C4_22SOLUTION The largest single source of funds for the firm in 2019 is (See oO Copy information above) 188 responses @ an increase in long-term debt @ an increase in net profits after taxes @ an increase in notes payable @ an increase in inventoryThe firm may have increased long-term debts to finance (See O copy information above) 183 responses @ an increase in current assets @ an increase in net fixed assets @ accounts receivable payments @ an increase in dividends The firm_____ fixed assets worth__. (See information above) (LJ. Copy 183 responses @ purchased; P200 @ purchased: PO old; P200 @ sold; PO Common stock dividends paid in 2019 amounted to (See information (O copy above) 183 responses 150 127 (69.4%) 10050 24 (13.1%) 1 o.sr(0,0(0 31.4% Pd 516) 2 (1-140. 0.20 0.610.410, 21-9122) 9 (0.10 010.82 F%.59 ° ° 7,900 150 1900 D “100 50 100,000 50,000 2500 The depreciation expense for 2019 is . (See information above) |) Copy 183 responses 200 159 (86.9%) 150 100 50 718.8% (1.4%)1 (0.5% I1 (0.5%) | 1 (0.5% (1.19)8 B31 (OSH (OMIT (0.5%) (0.5%) 4,000 400 200 1000 760 1000000 4,000,000 14s 200 200,000 800 400,000 the operating cashflow for 2019_. (See information above) 1D copy 183 responses 60 68 (37.2%) 60 40 25 (13.7%) 1618.7%) 178.3%) 20 1265%0 5m) 1 (Ucar LOsHCost(aK (aos (aqao's 1,090 1,180 1,953 2.158 3,500 $0 953413. 850-90200 the net change in fixed asset investment. (See information above) O copy 183 responses 80 63 (34.4%)40 20 10 (6.5%) 11 (6%) + (o.en4o.8-8%), 2 (1.1840-422%) =1000 4000 2,000 200» 2,200 200,000 400,000 600 60. the net change in current asset investment. (See information above) O copy 183 responses 80 69 (87.7%) 40 20 + 0.103% Lesvos oste-r0.s099 ~500,000 50 3,100 600 500000 -400 1,000 2,000 500 600,000 700 NOPAT. (See information above) (0 copy 183 responses 150 101 (55.2%) 100 50 a 0% _15(8.2%) 180.8%) 1 (ORCECE HCHO 59) Ce 59 (ceiceeo 593, (12548 S49 ea eee eeeroscen ICIELOIE(AEIOEEO.5 an ri ° 126 (1508. ‘e000 213 «350460 90,000Free cash flow. (See information above) 183 responses 150 13 “350 -650 -550 250 -450 “547 50 -400 350 550 347 -455 -450,000450 -650,000 950 “1,650 (147) 30,000 1250 50 790,000 253 “320 (450) “447 750 “647 850 “1,150 150,000, 455 350,000200 1,650 330 250000 105 390 -447,000 829 200 390,000 500 90400 230 SECTION 2 PROBLEMS FILENAME: C4_22SOLUTION Calculate net operating profit after taxes (NOPAT) if afirmhas sales of | (O) Copy P1,000,000, operating profit (EBIT) of P100,000, interest expense of 50,000, and a tax rate of 30%. 183 responses 200 168 (91.8%) 150 100 50 4 (0.5%) 2(1.1%) 1 (0.5%) 1 (05%) 1 (0.5%) 4 (0.5%) 1 (0.5%) 1 (0.5%) 5(2.7%) 4 (05%) o — i i I I 1 jet 105,000 7,000 70,000 700,000 70,000 ° 35,000 70,000 70,0000 735,000Calculate a firm's free cash flow if it has net operating profit aftertaxes (1) Copy of P60,000, depreciation expense of P10,000, net fixed asset investment requirement of P40,000, a net current asset requirement of P30,000 and a tax rate of 30%. 183 responses 200 150 100 9(4.9%) 2(11%) 1 (0.5%) (0.5%) 1 (0.5%) 21.1%) “10,000 -18,000— -20.000--28,000 7,000 ° 70,000 LOEWINCORP had net fixed assets of P2,000,000 at the end of 2019 1G copy and P1,800,000 at the end of 2018. In addition, the firm had a depreciation expense of P200,000 during 2019 and P180,000 during 2018. Using this information, LOEWIN's net fixed asset investment for 2019 was 183 responses 200 165 (90.2%) 180 100 10 (65%) 5 os) 105%) 1108%) 105%) 105%) 1os%) 201%) 1,000,000 2,200,000 220,000 400,000 700,000 1,800,000 200,000 400,00 580,000LOEWIN Corporation had net current assets of P2,000,000 at the endof — (L) Copy 2019 and P1,800,000 at the end of 2018. In addition, LOEWIN had net spontaneous current liabilities of P1,000,000 in 2019 and P1,500,000 in 2018. Using this information, LOEWIN's net current asset investment for 2019 was 183 responses 150 115 (62.8%) 100 52 (28.4%) 50 1 (0.5%) 1(0.5%) 1 (0.5%) 613.3%) 4 (0.5%) 2(1,1%) 3(1,6%) 105%) o —L [las {te i ~ 300,000 300,000 +,000,000 300,000 700,000 300,00 -700,000 200,000 400,000 7000,000 During 2019, LOEWIN Corporation had EBIT of P100,000, a change innet_ (LI) Copy fixed assets of P400,000, an increase in net current assets of P100,000, an increase in spontaneous current liabilities of P400,000, a depreciation expense of P50,000, and a tax rate of 30%. Based on this information, LOEWIN's free cash flows 183 responses 200 164 (89.6%) 150 100 1 (0.5%) 1 (0.5%) 2(1.1%) 813.3%) 2(1.1%) 1 (0.5%) 31.6%) 3(1.6%) 30,000 -20,000 20,000 -30,000 630,000 -850,000 0 20,000 30,000A firm has projected sales in May, June, and July of P100, P200, and (O copy 300, respectively. The firm makes 20 percent of sales for cash and collects the balance one month following the sale. The firm's total cash receipts in July is 183 responses 200 150 100 50 20%) 105%) —_2c41% 105% 109%) 108%) ° 160 7190 200 70 220000 260 ~—~—~300,000 A firm has actual sales in November of P1,000 and projected sales in (O copy December and January of P3,000 and 4,000, respectively. The firm makes 10 percent of its sales for cash, collects 40 percent of its sales one month following the sale, and collects the balance two months following the sale. The firm's total expected cash receipts in January is, 183 responses 200 163 (89.1%) 150 100 50 4 (0.596)1 (0.5% 12 (1.19%) (4:4%)4 (0.594) 2(1.1%)1 (0.5%)1 (0.5%)1 (0.5%)1 (0.5%)1 (0.5%) o — te | pei pet 1,200) 1,900) 2,020) 2,100,000 2,200 500 1,800 100 2,100 2,140 3,100 ccanno.In the month of August, a firm had total cash receipts of P10,000, total. = (Copy cash disbursements of P8,000, depreciation expense of P1,000, a minimum cash balance of P3,000, and a beginning cash balance of P500. The ending cash balance for August totals 183 responses 200 165 (90.2%) 150 100 4 (2.2%) 4(22%) 10.5%) 1(0.5%) 2(1.1%) 211.1%) 4 (22%) 1500 2,600 2,600,000 3.000 © 4,400 «4,500 5,600 6,500 SECTION 3 CASH FLOW BUDGET FILENAME C4_22SOLUTION October cash receipts 0 copy 183 responses 200 165 (90.7%) 150 100 50 1 (0.5%) 1 (0.5%) 1 (0.5%) 1 (0.5%) 1 (0.5%) 1 (0.5%) 1 (0.5%) 1 (0.5%) ® (44%) 4 (0.5%) o — i i i I i I [bs | 2,400,000 4,000,000 2,400,00 236,000 3,900,000 700,000 2,265,000 2,400,000 26,000,000 600,000December cash receipts 0 copy 183 responses 200 187 (85.8%) 150 100 10.5%) 949%) 196.5%) 4 9 ls es 1,800,000 1,850,000 2,008,000 510,000 4,200,000 1,850 2,000,000 20,500,000 850,000 = 105%) 1(08%) 1(05%) 1(05%) 1 (05%) November payment to suppliers O copy 183 responses 100 85 (46.4%) 75 35 (18.1%) 28 (18.3%) 25 1 (0,592 (1,192 (1,198 (2.27 (0.5%) 1 (0,594 (0.5% (0.5%) | 1 (0.5% (0.5%) 300,000 ° 10,000 2,900,000 3,000,000 430,000 600,000 december payment to suppliers O copy 183 responses 100 75 a9 a 6%)2o(109%) 23(126%) 26(14-2%) 2s 1 0.599(1,6%) | 422%) 4 9.5% (0,595) 274 (0.5%) ° 400,000 1,000,000 100,000 2,005,000 $0,000 460,000 850,000 November cash disbursement 0 copy 183 responses 200 166 (90.7%) 150 100 211%) 1 (0.5%) 1 (0.5%) 201.1%) 3(1.6%) 1(05%) 1 (0.5%) 6 (3.3%) 0 170,000 300,000 785,000 915,000 1,320,000 2,005,000 750,000 870,000 October net cash flow (0 copy 183 responses 200 180 100 1 (0.5%) 1 (0.5%) 2(1.1%) 10.5%) 10.5%) 7 (3.8%) 1,885,000 ° 135,000 235,000 25,000,000 + 560,000 90,000 December net cash flow O copy 183 responses. 200 186 (85.2%) 150100 50 TOsMOseits2I1 1%) 42261990 sHiosnos‘to sz THOsAIOSMIO SH }0 5% ° 185,000 115,000 -185,000 -205,000 -655,000 0 205,000 400,000 November excess cash 0 copy 183 responses 200 168 97.8%) 150 100 50 110% (os%t (O5%3 (0 SB (4948 (18% (ost (5%) 110.5% (05% 1 (5% (05%) ° “40,000 185,000 -—«30,000-+=«=«85,000 «465,000 «575,000 «875.0, October salaries & wages O copy 183 responses 200 180 100 50 1 (0.5%) 1 (0.5%) 1 os) 1 (05%) ° 160,000 300,000 6,750,000 675,000 75000 December salaries & wages O copy 183 responses 200 . a100 50 1(05%) 10.5%) 405%) 422%) 10.5%) ° L I i —l— “725,000 255,000 «112,500 +~—=«225,000-—=«—«325,000 «4,500,000 November sales commission 0 copy 183 responses 200 150 100 50 1(0.5%) 4 (0.5%) tos) 1 (05%) 0 150,000 20,000 10,000 150,000 20,000 SECTION 4CASH BUDGET PROBLEM SOLVING (20%) FILENAME: 22CASHBUDGETFORMAT FOR THE CASH BUDGET : cash receipts less cash disbursement = cash increase(decrease) + cash beginning balance=cash balance end less minimum cash balance = excess (deficiency) 143 responses 6,000 134,400 328,900 6,000 134,000 134,400, 6,000 and 134,400 ATTACHED IN THE GCLASSROOM N/A APRIL= 134,400; MARC 000 Answer in the solution file 6,000 134,400 Solution is Attach 22CASHBUDGET WRITTEN ANSWER MARCH = 6,000 APRIL = 134,400‘The monthly cash budget for March and April is attached herewith Excess/Deficiency: March = 6,000 April = 134,400 Solution pdf 36,100 Solution Attached Solution is attached in 22CASHBUDGET FOR SECTION 4 Cpa Excess (Deficiency) = 6,000 for March and 134,400 for April Solution is attached Solution: DONE See my answer in my solution attached in my work https://drive.google.com/file/d/1iS2alT1eWsBc3wRHDLLsjAYyH-aaNfke/view March = 442,500 - 461,500 = (19,000) + 45,000 = 26,000 - 20,000 = 6,000 April = 510,000 - 382,500 = 128,400 + 26,000 = 184,400 - 20,000 = 134,400 ATTACHED SOLUTION Cash Budget is in the solution, Thank you po. 6,000_134,400 April- 134,400 March - 6,000 CASH BUDGET FOR MARCH AND APRIL IS PRESENTED IN THE SOLUTION FILEIN THE SOLUTION 22CASHBUDGET SOLUTION CASH BUDGET IS IN THE SOLUTION 6,000 March 134,000 April My solution in this question is attached Excess 6,000 & 134,400 March = 6,000 April = 134,400 solution on the attached drive Excess= 6,000 134,400 CASH BUDGET IS IN THE SOLUTION PAPER. MARCH 442,500 - 461,500 = -19,000 + 45,000 = 26,000 - 20,000 = 6,000 APRIL, 510,900 - 382, 500 = 128, 400 + 26,000 = 184,400 - 20,000 = 134,400 2,300,000 285,000 328,900 IN THE SOLUTION ATTACHED kimmy cutiein solution 22CASHBUDGET Cash budget for March and April is attached in the google classroom (pdf) 6,000 134,400, 140,440, 457,300 6,000 134,400 SECTION 4 SOLUTION MARCH 6,000 APRIL 134,400 In the solution 442,500-461,500=(19,000)+45,000=26,000-20,000=6,000 SOLUTION IS ATTACHED IN GCLASS. CPA CUTIEEE! <3 March 442,500 - 461,500 = -19,000 “19,000 + 45,000 = 26,000 26,000 - 20,000 = 6,000 April 510,900 - 382,500 = 128,400 128,400 + 26,000 = 154,400 154,400 - 20,000 = 134,400 SECTION 5 FREE CASHFLOW PROBLEM (9%) FILENAME: 220CF_FCFNOPAT O copy 183 responses 100 85 (46.4%) 1s 50 39 (21.3%) 2s 140.7%) " crn Seed csatest aii 1 (CAE REEF (CAE CHEE EERE (0551) (CHE(CAE(CZELEAG (CREAN 4) (ZA IY) 1 (CIE CAE RES MAE REZ EN ° re ee ee Tes ocr O copy 183 responses 200 156 (85.2%) 150 100 50 1 (0.92(0.29(0.2(0.19(0 (0.2361. 3461.4°(0.2F(0.£7(0.£12(0.19(0.<17(0.:0,(0.3301 -3241.6%) 1 (0.8(0.7(0.59 o 11 1 joy 1 J |} ial 97 249 289 321 428 s7 220 428,000 300 330,000 FCF 0 copy 188 responses 190 131 (71.6%) 10050 7a 1 12(6.6%) 1 os o2iaat oor cS27 Oras oro (adie nco'sret (0.5% (o-lts (cata (OBO (ORAM: ° sat 145, 176 220 242282 299 SECTION 6 FREE CASH FLOW PROBLEM (15%) FILENAME: 220CF_FCF NOPAT (O copy 183 responses 150 143 (8.1% 100 50 2 (1.110 13-70, 170 TF BC HP0 910.226.810.241 1%) 1 (0.610 1700.8. 7% 0 -R0.800.5% ° 5,000 0 17,000 19,000 20,000 21,111 22,000 25000 35,000 41,000 7, OCF 0 copy 183 responses 200 152 (63.1%) 150 100 50 19 (10.4%) 1 (0.5%) 1 (0.5%) 1 (0.5%) 1 (0.5%) 3 (1.6%) 1 (0.5%) 1 (0.5%) 2 (1.1%) os 1 (0.5%) o — i i jt jt i 21,000 19,000 22,000 25,000 3,000 41,000 10,800 2,000 23,000 28000 35,000NFAI 0 copy 188 responses 200 150 100 50 214%) 105%) 105%) 1(05%) 1 (05%) 1 (0.5%) ° 15000-2000 0 e000 2000 °~=—=«27,000~—«5,000 NCAI O copy 183 responses 200 187 (91.3%) 150 100 50 105%) 2(1.1%) 105%) 883%) 211.1%) 105%) 1 (0.5%) 2 (11%) »o — L =i | i 12000 -46,000 0 ~——-16,000-*18,000 3,000 37,000 6,000 6,000, FCF O cory 183 responses 150 118 (64.5%) 10044 (24%) TOsKOsKOstESHOs%) 2.4K OsKOsKOSHIOS) 1 (0.54 Pio sta sain 140.5% i ° -23,000 1,000 134,000 17,000 20,000 22000 30,000 48,000 88,000 This content is neither ctzated nor endorsed by Google. 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