Calculate the change in the value of ms fish equity

Assignment Help Accounting Basics
Reference no: EM132807409

Problem 1: Felicia Fish is the sole shareholder in Aquarium City. Her equity in the corporation totals $500,000. Given her use of leverage, however, the total value of Aquarium City is $2 million. Calculate the change in the value of Ms. Fish's equity in the firm under the following scenarios:

a. The value of her assets rises by 25 percent.
b. The value of her assets rises by 100 percent.
c. The value of her assets falls by 30 percent.

Reference no: EM132807409

Questions Cloud

Describe the four issues of implementing spc : List and describe the four issues of implementing SPC (statistical process control) and explain which issue you think is the most difficult for a practitioner t
What is the purpose of the budget for hc organizations : What is the purpose of the budget for HC organizations? Why are requests for budget revisions necessary? Medicare has changed the way it pays HC organizations
Describe the specific internal control weakness : Describe the controls that could have prevented Miss Emma from perpetrating this fraud and Discuss the objective of eliminating the receiving function.
What is the holding cost per unit produced : Consider a company that faces annual demand of 15,000 units of one of their products any given year. Once the equipment is set up (at a cost of $1,200 per set-u
Calculate the change in the value of ms fish equity : Calculate the change in the value of Ms. Fish's equity in the firm under the value of her assets rises by 100 percent and value of assets rises by 25 percent
Explain expected monetary value criterion : WZ has estimated the following probabilities of completing the project within various time frames when using each of the three options.
Why hakim would want to sell his mutual funds and invest : Why hakim would want to sell his mutual funds and invest in segregated funds? You meet with your client hakim for an annual review of his investment
What is break-even point in dollars : a. What is your break-even point in dollars for all categories combined?
Advise catherine on the type of opinion : Britney Ltd recently signed up Marysville Ltd, Advise Catherine on the type of opinion that should be issued for Marysville Ltd and justify your answer.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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