Discussion about the given changes in a company

Assignment Help Accounting Basics
Reference no: EM131837503

Question: Holding all other factors constant, indicate whether each of the following changes generally signals good or bad news about a company.

(a) Increase in profit margin.

(b) Decrease in inventory turnover.

(c) Increase in current ratio.

(d) Decrease in earnings per share.

(e) Increase in price-earnings ratio.

(f) Increase in debt to assets ratio.

(g) Decrease in times interest earned.

Reference no: EM131837503

Questions Cloud

What does each type of ratio measure : What does each type of ratio measure? What is the difference between the current ratio and working capital?
How near to sale is the inventory on hand : Handi Mart, a retail store, has an accounts receivable turnover of 4.5 times. The industry average is 12.5 times. Does Handi Mart have a collection problem.
What is the formula for computing the payout ratio : At year-end, the price-earnings ratio of General Motors was 11.3, and the price-earnings ratio of Microsoft was 28.14. Which company did the stock market favor?
What annual interest rate must they earn to reach their goal : What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds?
Discussion about the given changes in a company : Holding all other factors constant, indicate whether each of the following changes generally signals good or bad news about a company.
What had been the compound interest rate : You invested $500 and received $650 after three years. What had been the compound interest rate?
What is Keanu earnings per share of common stock : Keanu Inc. has net income of $200,000, average shares of common stock outstanding of 40,000, and preferred dividends for the period of $20,000.
First withdrawal is at the end of your first retirement year : How much will you have to save each year over next 40 years to meet your goal? assume that your first withdrawal is at the end of your first retirement year.
Show the discontinued operations section of Flores statement : On June 30, Flores Corporation discontinued its operations in Mexico. On September 1, Flores disposed of the Mexico facility at a pretax loss of $640,000.

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