Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Springfield Bank is evaluating Creek Enterprises, which has requested a $4,000,000 loan, to assess the firm's financial leverage and financial risk. On the basis of the debt ratios for Creek, along with the industry averages (see the top of the next page) and Creek's recent financial statements (following), evaluate and recommend appropriate action on the loan request.
Creek Enterprises Income Statement for the Year Ended December 31, 2015
Sales Revenue
30,000,000
Less: Cost of goods sold
21,000,000
Gross profits
9,000,000
Less: Operating expenses
Selling expense
3,000,000
General and administrative expenses
1,800,000
Lease expense
200,000
Depreciation expense
1,000,000
Total operating expense
6,000,000
Operating profits
Less: Interest expense
Net profits before taxes
2,000,000
Less: Taxes (rate= 40%)
800,000
Net profits after taxes
1,200,000
Less: Preferred stock dividends
100,000
Earnings available for common stockholders
1,100,000
At a=.05 is there enough evidence to reject the claim? Test the claim about the population proportion.
heavenly hotels inc. will not pay any dividends for the next three years. heavenly will pay its first dividend of 2.00
naomi corporation has a capital budgeting project that has a negative net present value of 36000. the life of this
does a yield to call differ more from the yield to maturity at lower interest rates or higher interest rates? is yield
Describe the risks that you might encounter when making financial decisions over the next few years.
what is the maximum sustainable growth rate (SGR)?
Does the use of universes of managers with similar investment styles to evaluate relative investment performance overcome the statistical problems associated with instability of beta or total variability?
consider how the inflation rate would affect the return
Explain the content and the purpose for the HUD-1 Settlement Statement is used by conventional and government insured lenders in the US.
Determine the total two-year interest cost undereach plan. Which plan is less costly?
Assume you are considering investing in a landscaping business. The cost of the equipment is $80,000 and you will need to invest other $20,000 in net working capital.
Identify importance of off balance sheet financing with respect to tax & accounting issues? How does EBIT or EPS analysis allow financial managers to find the capital structure of the firm?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd