Assume that in a given year Tesla's sales increase from $200 billion to $250 billion. Calculate the

Fantastic news! We've Found the answer you've been seeking!

Question:

Assume that in a given year Tesla's sales increase from $200 billion to $250 billion.

Calculate the net capital expenditure and working capital requirements this would generate if the company's Sales/Net PPE and Working Capital/Sales ratios were 3.50 and 15% respectively.

Related Book For answer-question

Applied Corporate Finance

ISBN: 978-1118808931

4th edition

Authors: Aswath Damodaran

See More Books

Posted Date: Apr 15, 2024 08:44 AM

See More Questions

Develop a forecast of Tesla's sales revenue for the period 2023 - 2032. Be prepared to justify your forecast. Note that you are not required to forecast other variables at this stage. Assume that in...
M-L Fasteners, GmbH case set in West Germany in 1986 in the apparel fasteners industry. The issue is cost analysis for a "bundled" business. My biggest concern is keeping prices up in the face of...
KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...
Lead nitrate solution is added to a test tube containing potassium iodide solution. (a) Write the name and colour of the compound precipitated. (b) Write the balanced chemical equation for the...
Northrop Grumman Corporation is a global defense company headquartered in Los Angeles, California. Northrop Grumman provides a broad array of products and services related to defense electronics,...
It has been my experience that a portfolio manager can perform poorly on the returns front but as long as they "beat" their benchmark they have done well. In today's environment, we see a lot of...
Discuss the differences among verbal, written, and implied consent.
Tech Systems manufactures an optical switch that it uses in its final product. Tech Systems incurred the following manufacturing costs when it produced 68,000 units last year: Direct...
Journalize the following transactions for the A to Z Pool Supply, assuming the "net" method is used. Explanations are not required. a. Sold $64,000 of merchandise to Sonny's Spas, Inc., on account,...
Q 5. The weekly marginal revenue from the sale of a pairs of shoes is given by 400 R'(r) = 50 0.03z sin(r) + 2x +1 R(0) = 0 where R(r) is revenue in Cedis. (a) Find the revenue function. Find the...
In the oil and gas extraction industry, what are the pay ratios for the chief executives job to (a) human resources managers, (b) accountants and auditors, and (c) file clerks? In the retail trade...
Tyler Energy owns a 100% working interest in a tract of land in Texas. Lacking the funds to develop the property, Tyler Energy assigns Gravity Oil 30,000 barrels of oil to be paid out of 1/7 of its...
Compare and contrast the three different economic shocks using the Fed model, and explain which curve shifts for each type of shock.
The interdependence principle says that what happens in one part of the economy will affect other parts. Use the Fed model to explain the interdependence between the real interest rate, the output...
If the learning rate is 60% and the first time the activity was performed took 200 minutes, the second time performing the activity should take _____________________ minutes, and the fourth time...
Explain why promoting safety by example is so important.
Gopher, Inc. developing its upcoming budgeted Costs of Quality (COQ) with the following information: Expense Item Budget Raw Materials Inspection $ 15,000 EPA Fine 200,000 Design Engineering 15,000...
A 1.0-cm-diameter sphere is charged to a potential of $3400 \mathrm{~V}$. How much charge is on the sphere?
a. What is the potential difference between the terminals of an ordinary AA or AAA battery? (If you're not sure, find one and look at the label.) b. An AA battery is connected to a parallel-plate...
$\mathrm{A}+25 \mathrm{nC}$ charge is at the origin. How much farther from the charge is the $2000 \mathrm{~V}$ equipotential surface than the $3000 \mathrm{~V}$ surface?

Assume that in a given year Tesla's sales increase from $200 billion to $250 billion. Calculate the

Question:

Expert Answer:

Given Sales increase from 200 billion to 250 billion SalesNet PPE ratio 350 Working CapitalS... View the full answer

Applied Corporate Finance

Students also viewed these finance questions