1. Why shouldnt maximizing net profit be the most important goal of a corporation? 2. Megah Corporation has current assets of $5,400, net fixed assets of $28,100, current liabilities of $4,100, and long-term debt of $10,600. What is the value of the shareholders equity account for this firm? How much is net working capital? 3. Gagah Corporation has a net income of $213,700, a profit margin of 7.1%, and an accounts receivable balance of $126,385. Assuming 65% of sales are on credit, what is the companys days sales in receivables? 4. The Millenium Corporation has a ratio of long-term debt to long-term debt plus equity of 0.35 and a current ratio of 1.45. Current liabilities are $1,140, sales are $8,370, profit margin is 8.3%, and ROE is 16.5%. What is the amount of the firms net fixed assets? 5. Wong opens a savings account and deposits an initial amount of RM5,000 into it. He plans to deposit RM6,000 into the account after two years and another RM4,000 three years from today. How much will he have in his account five years from today if he earns a 6% rate of return? 6. Jacob is 45 years old and plans to retire at the age of 60. After his retirement, he plans to support his living by being able to withdraw RM6,000 per month from a retirement fund. If he expects to live until the age of 85, how much money does he need in the retirement fund when he retires assuming that he can earn 6.5% rate of return per year from the fund? 7. Based on question 6 earlier, if Jacob wants to start investing a level/fixed amount every month from now (at the of 45) until he retires (at the age of 60) in an investment account that pays 6% annual rate of return, how much should the monthly fixed investment be? 8. Youre prepared to make monthly payments of RM150 into an investment account, beginning at the end of this month for 8 years, to accumulate a sum of RM20,000. What is the nominal interest rate offered by the account?

1. Why shouldn't maximizing net profit be the most important goal of a corporation? ( 3 marks) 2. Megah Corporation has current assets of $5,400, net fixed assets of $28,100, current liabilities of $4,100, and long-term debt of $10,600. What is the value of the shareholders' equity account for this firm? How much is net working capital? ( 3 marks) 3. Gagah Corporation has a net income of $213,700, a profit margin of 7.1%, and an accounts receivable balance of $126,385. Assuming 65% of sales are on credit, what is the company's days' sales in receivables? (3 marks) 4. The Millenium Corporation has a ratio of long-term debt to long-term debt plus equity of 0.35 and a current ratio of 1.45. Current liabilities are $1,140, sales are $8,370, profit margin is 8.3%, and ROE is 16.5%. What is the amount of the firm's net fixed assets? (4 marks) 5. Wong opens a savings account and deposits an initial amount of RM5,000 into it. He plans to deposit RM6,000 into the account after two years and another RM4,000 three years from today. How much will he have in his account five years from today if he earns a 6% rate of return? (3 marks) 6. Jacob is 45 years old and plans to retire at the age of 60 . After his retirement, he plans to support his living by being able to withdraw RM6,000 per month from a retirement fund. If he expects to live until the age of 85 , how much money does he need in the retirement fund when he retires assuming that he can earn 6.5% rate of return per year from the fund? (4 marks) 7. Based on question 6 earlier, if Jacob wants to start investing a level/fixed amount every month from now (at the of 45 ) until he retires (at the age of 60 ) in an investment account that pays 6% annual rate of return, how much should the monthly fixed investment be? (3 marks) 8. You're prepared to make monthly payments of RM150 into an investment account, beginning at the end of this month for 8 years, to accumulate a sum of RM20,000. What is the nominal interest rate offered by the account? (4 marks)|