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!
Steve has gathered information on the Web about Amazon's (AMZN) history of sales and profit margins. Based on this information, he believes that Amazon will have sales of $45 billion in 2013, with a profit margin of 3.0%. He also notes that Amazon has 454 million shares outstanding, and he expects the P/E ratio to remain at its current value of 85. Help Steve calculate the following. Hints: You will need equations 8.1, 8.2, and 8.5. "Net profit" and "After-Tax Earnings" are the same thing.
a. If Amazon hits the sales and profit margin targets given, what will its net profit be in 2013? Do not round this answer.
b. Given this net profit and the number of shares outstanding, find the expected earnings per share (EPS) for 2013. You may round to the nearest cent if you wish.
c. Given this EPS estimate and Steve's assumption about the P/E ratio, calculate the value of a share of Amazon stock.
Alcoa recently announced a new dividend policy. The firm said it would pay a base cash dividend of 40 cents per common share each quarter. For what types of firms would Alcoa's new dividend policy be appropriate? Explain.
A company needs about $20-25 million dollars to expand. The following is included for data. It is privately owned and sells proprietary products in the medical field.
Can you please describe how the use of derivative securities can further enhance a portfolio's performance.
What is the value of ratio for FY 2011 and does the ratio you calculated in part (b) compare favorably or unfavorably to the rule of thumb for this ratio? Write "none" if there is no rule of thumb.
Estimate of beta for British Petroleum. Please consider examining or using an industry average beta, especially if the reported beta you find seems unrealistic or inappropriate.
Computation of price of the bond and what price should the existing bond be traded at when the new five-year bond issued
Find what will the value be if Corrado converts to 50% debt and evaluate what will the value be if Corrado converts to 100% debt?
An asset costs $100,000 and will create cash benefits of $30,000 at the end of each year for five years for Hartford company. Salvage value are $50,000, $40,000, and $0 at the end of year 3, year 4, and year 5 respectively.
What are some sources of short-term, medium-term, and long-term international financing? What are the costs associated with each of these sources?
June 1, 2004 Janson Corporation sold $1,000,000 in long term bonds for $877,600 maturing in ten years with a stated interest rate of 8 percent and yield rate of 10 percent.
King Company makes a short-term investment in 300 shares of Renfro Corporation's common stock. The stock is purchased for $30 a share plus brokerage fees of $400.
Sloane Company offered detachable five year warrants to buy one share of common stock par value five dollar at $20 at a time when the stock was selling for 32 dollar.
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