Question: Question: Using the Balance Sheet for Forman Corporation and the Supplementary Information below, please answer the following: a) What is the firm's net working capital?

 Question: Using the Balance Sheet for Forman Corporation and the Supplementary

Question: Using the Balance Sheet for Forman Corporation and the Supplementary Information below, please answer the following: a) What is the firm's net working capital? b) What is the amount of long-term funding that is funding short-term assets? c) What is the firm's total equity capitalization? d) What is the firm's WACC (weighted average cost of capital)? Cash/Marketable Sec. Accounts Receivable Inventory 8,500,000 2,840,000 6,000,000 Property Equipment Ace. Dep. Other LT Fixed Assets Balance Sheet - Forman Corporation 2,500,000 Accounts Payable 8,400,000 Taxes Payable 11,340,000 Other Accruals 250,000,000 Bond 1(61/2%) 1,100,000,000 Bond 2 (7%) -400,000,000 Debenture A 19%) 480,000,000 Debenture B (10%) 200,000,000 Common (Par $0.50) Surplus Retained Earn. 200,000,000 260,000,000 100,000,000 400,000,000 Minority Interest 50,000,000 250,000,000 380,900,000 Total Assets 1,652,240,000 Total (Liab + Eq) 1,658,240,000 41 1.2 4 10 40% Price per Share Beta (Forman Corp.) Risk Free Rate Expected Return on Market Tax Rate

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