Table 14.3
-Ace's Business Forms has compiled several factors relative to its financing mix.The firm pays 8 percent on short-term funds and 10 percent on long-term funds.The firm's monthly current,fixed,and total asset requirements for the previous year are summarized in Table 14.3.
Determine:
(a)the monthly permanent funds requirement
(b)the monthly average seasonal funds requirement
(c)the annual financing costs (aggressive strategy)
(d)the annual financing costs (conservative strategy)

Question

Table 14.3 
-Ace's Business Forms has compiled several factors relative to its financing mix.The firm pays 8 percent on short-term funds and 10 percent on long-term funds.The firm's monthly current,fixed,and total asset requirements for the previous year are summarized in Table 14.3.
Determine:
(a)the monthly permanent funds requirement
(b)the monthly average seasonal funds requirement
(c)the annual financing costs (aggressive strategy)
(d)the annual financing costs (conservative strategy)

Quizplus · Accepted Answer

The Answer of Table 14.3 
-Ace's Business Forms has compiled several factors relative to its financing mix.The firm pays 8 percent on short-term funds and 10 percent on long-term funds.The firm's monthly current,fixed,and total asset requirements for the previous year are summarized in Table 14.3.
Determine:
(a)the monthly permanent funds requirement
(b)the monthly average seasonal funds requirement
(c)the annual financing costs (aggressive strategy)
(d)the annual financing costs (conservative strategy)

Table 14.3 -Ace's Business Forms Has Compiled Several Factors Relative to Its