Question: 1. a) Explain the three financial decisions made by the financial manager. How are they interrelated? 1. b) Based only on the following information for

 1. a) Explain the three financial decisions made by the financial

1. a) Explain the three financial decisions made by the financial manager. How are they interrelated? 1. b) Based only on the following information for Murdoch Pty Ltd, did cash go up or down? By how much? Classify each event as a source or a use of cash. Increase in accounts $25,000 payable Increase in inventory $15,000 Decrease in accounts receivable $27,000 Decrease in borrowings $65,000 1. c) You are considering the purchase of a home for $700,000. You have available a deposit of $100,000. The bank will lend you money at 7 per cent per annum compounded monthly over a period up to 20 years. If you borrow the required funds over 20 years, what are the monthly repayments? After two years, how much do you still owe the bank? What is the interest component of the 25th repayment

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