Questions from Entrepreneurial Finance


Q: In early 2013, Jennifer (Jen) Liu and Larry Mestas

In early 2013, Jennifer (Jen) Liu and Larry Mestas founded Jen and Larry’s Frozen Yogurt Company, which was based on the idea of applying the microbrew or micro batch strategy to the production and sa...

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Q: Rework Problem 2 under the assumption that, in addition to your

Rework Problem 2 under the assumption that, in addition to your venture’s taxable income of $50,000, you expect to personally earn another $10,000 from a second job. Data from Problem 2: Assume your...

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Q: LeAnn Sands wants to conduct revenue breakeven analyses of Salza Technology Corporation

LeAnn Sands wants to conduct revenue breakeven analyses of Salza Technology Corporation for 2019. Income statement information is shown in Problem 8. For 2019, the firm’s cost of goods sold is conside...

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Q: LeAnn Sands has reason to believe that 2020 will be a replication

LeAnn Sands has reason to believe that 2020 will be a replication of 2019 (see Problem 8) except that cost of goods sold is expected to be 65 percent of the estimated $450,000 in revenues. Other incom...

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Q: Use the financial statement data for the Bike-With-Us

Use the financial statement data for the Bike-With-Us Corporation provided in Problem 3 to make the following calculations: A. Calculate the operating return on assets. B. Determine the effective inte...

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Q: Following are two years of income statements and balance sheets for the

Following are two years of income statements and balance sheets for the Munich Exports Corporation. A. Calculate the cash build, cash burn, and net cash burn or build for Munich Exports in 2019. B. As...

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Q: The Castillo Products Company was started in 2017. The company manufactures

The Castillo Products Company was started in 2017. The company manufactures components for personal digital assistant (PDA) products and for other hand-held electronic products. A difficult operating...

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Q: Use the financial statement data for Castillo Products presented in Problem 6

Use the financial statement data for Castillo Products presented in Problem 6. A. Calculate the net profit margin in 2018 and 2019 and the sales-to-total-assets ratio using year-end data for each of t...

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Q: Refer to the financial statement data provided below for Safety-First

Refer to the financial statement data provided below for Safety-First, Inc. A. Calculate the net profit margin, the sales-to-total-assets ratio, and the equity multiplier for both 2018 and 2019 using...

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Q: Make use of the financial statement data provided in Problem 8 for

Make use of the financial statement data provided in Problem 8 for Safety-First, Inc. A. Calculate the operating profit margins and the NOPAT margins in 2018 and 2019 for Safety-First, Inc. What chang...

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