Equity multiplier and return on equity nuber company

Assignment Help Accounting Basics
Reference no: EM131063388

Chapter 3

Question 1. Equity Multiplier and Return on Equity Nuber Company has a debt-equity ratio of .80. Return on assets is 9.7 percent, and total equity is $735,000. What is the equity multiplier? Return on equity? Net income?

Question 2. Using the DuPont Identity )(MC, Inc., has sales of $2,700, total assets of $1,310, and a debt-equity ratio of 1.20. If its return on equity is 15 percent, what is its net income?

Question 3. Days' Sales in Receivables A company has net income of $265,000, a profit margin of 9.3 percent, and an accounts receivable balance of $145,300. Assuming 80 percent of sales are on credit, what is the company's days' sales in receivables?

Question 4. Calculating the Cash Coverage Ratio Titan Inc.'s net income for the most recent year was $8,320. The tax rate was 34 percent. The firm paid $1,940 in total interest expense and deducted $2,730 in depreciation expense. What was Titan's cash coverage ratio for the year?

Question 5. Ratios and Fixed Assets The Le Bleu Company has a ratio of long-term debt to total assets of .35 and a current ratio of 1.25. Current liabilities are $950, sales are $5,780, profit margin is 9.4 percent, and ROE is 18.2 percent. What is the amount of the firm's net fixed assets?

Reference no: EM131063388

Questions Cloud

Definition for each of operation management : What is the relation between managing the supply chain, managing inventory, aggregate scheduling and why operation management ordered this phases in this way? What is the definition for each of them in operation management?
Using the gross profit method-the estimated inventory : Plaza North sells a variety of merchandise to retail stores on open account, but insists that any customer who fails to pay an invoice when due must replace it with an interest-bearing note. The company adjusts and closes it accounts at December 31. ..
Project phase and in the middle of a project : However, a recently discovered or reported variance of 100% in a particular project phase and, in the middle of a project, is cause for immediate action! What action would you have taken, and in what part of the planning cycle, to perhaps, prevent..
Market risk premium-preferred stock outstanding : You are given the following information for Watson Power Co. Assume the company’s tax rate is 40 percent. Debt: 8,000 6.3 percent coupon bonds outstanding, $1,000 par value, 20 years to maturity, selling for 106 percent of par; the bonds make semiann..
Equity multiplier and return on equity nuber company : Question 1. Equity Multiplier and Return on Equity Nuber Company has a debt-equity ratio of .80. Return on assets is 9.7 percent, and total equity is $735,000. What is the equity multiplier? Return on equity? Net income?
Determining the qualitative risk analysis : Once the risks facing the project are identified, a determination of their relative priority for attention by the project team and resource investment by the organization must be determined.
Whether the lease proposed feasible or not : Cost of capital is 10% Rate of depreciation 10% Economic life of the asset 10 yrs Tax rate 35% Lease rental per year Rs. 6,00,000.
Working in a team on a project : What are the advantages and disadvantages of working in a team on a project?
Conventional case management and disease management : What are the key differences between conventional case management and disease management? Provide some examples of diseases that seem to benefit from a disease management model of care.

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  Determine the amount of the adjusting entry

At the end of the current year, the accounts receivable account has a debit balance of $650,000, and net sales for the year total $5,500,000.

  A small tax accounting preparation and bookkeeping practice

You have a small tax accounting preparation and bookkeeping practice. A new client enters your office and places a box of receipts and bank statements on your desk and says that she would like to have a set of financials prepared and tax retur..

  Exponential life distribution with mean ?

Suppose a type of unit has an exponential life distribution with mean θ,. Suppose that unit i is inspected once at time π, to determine whether it has failed or not, i = 1,. . .,I. (a) Write the sample log likelihood C, distinguishing between fail..

  Market value to book value

Compute (A) debt (long-term) to equity, (b) return on equity, (c) return on assets, (d) dividend payout, (e) financial leverage, and (f) market value to book value.

  What is the breakeven point in cards b what sales volume is

the holiday card company a producer of specialty cards has asked you to complete several calculations based upon the

  How would the assets appear on the balance sheet

Any plans to depreciate the operating assets on a straight-line basis for 20 years. Determine the amount of depreciation expense for 2010 on these newly acquired assets.

  Prepare journal entries to record

Prepare the entry required on December 31, 2013, to record the payment of the first 6 months' interest and the amortization of premium on the bonds.

  Variable costing fell out of favor in management

Variable costing fell out of favor in management circles because:

  Calculations for lease receivable

a. Show calculations for Lease Receivable on 1/1/2014 (round your answer). b. Prepare the journal entry to record the lease on 1/1/ 2014.

  Compute the eoq average inventory orders per year average

for supply item abc andrews company has been ordering 125 units based on the recommendation of the salesperson who

  Leiker corporation has these accounts at december 31 common

leiker corporation has these accounts at december 31 common stock 11 par 4610 shares issued 50710 paid-in capital in

  Ava school of learning obtained a charter at the start of

1.ava school of learning obtained a charter at the start of 2010 that authorized 43000 shares of no-par common stock

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd