Summary
Summary FIN2603 Assignment 02 Semester 01 2024 ,
- Course
- Institution
WELL ARTICULATED SOLUTIONS OF FIN2603 Assignment 02 Semester 01 2024 , With correct options and pass rate of above 90%
[Show more]
1 review
By: mokgathid • 6 months ago
Seller
Follow
sfisomaseko
Reviews received
Content preview
9/16/23, 4:54 PM Assessment 2: Attempt reviewUNISA 2023 FIN2603-23-S2 Welcome Message Assessment 2
QUIZ
Started on Saturday, 16 September 2023, 3:54 PM
State Finished
Completed on Saturday, 16 September 2023, 4:14 PM
Time taken 20 mins 2 secs
Question 1
Complete
Marked out of 1.00
A company increasing its credit terms for customers from 2/15 net 60 to 2/20
net 90 will likely experience ...
a. a decrease in the average collection period.
b. higher net income.
c. an increase in the average collection period.
d. an increase of cash in hand.
Question 2
Complete
Marked out of 1.00
A company has financed 45% of its assets through a 11% after-tax cost of debt
loan. The remainder of its assets are financed through equity. The firm’s required
return on equity is 16%. Calculate the company's weighted average cost of
capital (WACC)?
a. 28.50%
b. 11.25%
c. 43.56%
d. 13.75%
Question 3
Complete
Marked out of 1.00
If Gerard invests R8 000 at the beginning of each year at an interest rate of 8%
over a six-year period, the future value of the investment would be ...
a. R81 000.00
b. R58 687.43
c. R60 000.00
d. R63 382.42
https://mymodules.dtls.unisa.ac.za/mod/quiz/review.php?attempt=13417199&cmid=623266 1/9
, 9/16/23, 4:54 PM Assessment 2: Attempt review
Question 4
Complete
Marked out of 1.00
What amount must be invested annually (at the beginning of each year) for 5
successive years at 8% p.a. compounded interest in order to yield R500 000?
a. R89 383.21
b. R92 000.44
c. R78 915.03
d. R82 047.05
Question 5
Complete
Marked out of 1.00
The financial manager is evaluating a proposal for a new project with the
following cash flows: Year Net cash flows 0 -R 1 000 000 1 R 550 000 2 R
350 000 3 R 90 000The payback period is ...
a. between one and two years.
b. three years.
c. two years.
d. more than three years.
Question 6
Complete
Marked out of 1.00
Characteristic of the industry include ...
a. Cyclical variations
b. All of the above
c. Competitive forces
d. Seasonal variations
Question 7
Complete
Marked out of 1.00
A company has a cash conversion cycle of 50 days. Annual outlays are R10
million and the cost of negotiated financing is 9%. Calculate its annual savings if
the company reduces its average age of inventory by 15 days. Assume 360 days
per year.
a. R37 500
b. R52 500
c. R17 778
d. R15 679
https://mymodules.dtls.unisa.ac.za/mod/quiz/review.php?attempt=13417199&cmid=623266 2/9
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller sfisomaseko. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $5.04. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75632 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now