Explain how would allgreens compare with the industry

Assignment Help Corporate Finance
Reference no: EM1344314

Allgreens expects its sales to reach $ 33,000 with an investment in total assets of $ 10,750. Net income of $ 1,225 is antici-pated. This year, sales were $ 30,000, total assets were $ 9,900, and net income was $ 1,000. Last year, these figures were $ 28,000, $ 9,000, and $ 750 respectively. a. Use the Du Pont system to compare Allgreens' anticipated performance against its prior year results. Comment on your findings. b. How would Allgreens compare with the industry if it oper-ates in the same industry as Dayco and if the industry average ratios remain the same over time?

Reference no: EM1344314

Questions Cloud

Which in the end reduces cost also not in spread sheet : Once issued by the parent, It stays which way also all transfer benefits (tax breaks) are lost forever.
Explain what are the betas of the three risky assets : Suppose the market portfolio comprised of 4% invested in Asset 1, 76% invested in Asset 2, and 20% invested in Asset 3. What is the expected return of this portfolio and explain what are the betas of the three risky assets
Compute the real rates of return : At the starting of last year, you invested $4,000 in 80 shares of the Chang company. During the year, Change paid dividends of $5 per share.
Explaining downtick in project success rates of it projects : What is the likely reason or reasons for the downtick in project success rates of IT projects and what recommendations would you make to improve the success rates? Be specific.
Explain how would allgreens compare with the industry : Explain how would Allgreens compare with the industry if it oper-ates in the same industry as Dayco and if the industry average ratios remain the same over time?
How economic policy affected the lending institutions : From an economic growth & prosperity level, we have to look at the role of financial system. We know that high inflation means higher interest rates,
What are the companys most vulnerable areas : What could go wrong and identify at least 3 possible risks also what must happen in order for the company to succeed?
Monitoring performance of it acquisition projects : Who is or should be responsible for monitoring the performance of IT acquisition projects and taking action that may result in cancelling the project?
Who are the characters assumed to represent : Who are the characters Assumed to represent. Illustrate what did they want.

Reviews

Write a Review

Corporate Finance Questions & Answers

  Evaluate ten financial ratios

Calculation of financial ratios - Evaluate the following ten (10) financial ratios and provide a one sentence explanation of the analytic use of each ratio test. Show your formulas and input. Accuracy to two decimal points is sufficient.

  Determine the price of the stock using dividend

Determine the Price of the stock using dividend discount Model - What should the price of the company's stock be today?

  Computation of return on stock using capm approach

Computation of return on stock using CAPM approach - Other things held constant, if the expected inflation rate decreases and investors also become more risk averse, the Security Market Line would shift

  Determine the tax disadvantage to organizing a u.s. business

Determine the tax disadvantage to organizing a U.S. business today as a corporation, as compared to a partnership, under the following conditions.

  Evaluation of current price of the stock

Evaluation of current price of the stock - What is the current value of a share of Bollinger's stock to an investor who requires a 15 per cent required rate of return.

  Revenue from sales based on projected net income

Forecasting revenue from sales based on projected net income and operating costs - What level of sales would generate $2,500,000 in net income?

  Multiple choice questions on inventory carrying

Multiple choice questions on inventory carrying, sales and Which of the following statements is most correct?

  Computation of yield on a corporate bond

Computation of yield on a corporate bond. presume that there is no maturity risk premium. What is the yield on this 5-year corporate bond

  What do you meant by aa-curve

What do you meant by AA-curve

  Determine the profitability of each product line

Assign administrative overhead costs to the two product lines based on ABC, using the cost drivers designated in the data provided above. Determine the profitability of each product line (in dollars and percentages)

  Financial leverage and profitability

Corporate finance questions on The relationship between financial leverage and profitability,  Integrative-Complete ratio analysis,  Historical and Industry Average Ratios for Sterling Company

  Questions related to interest rate calculations

Questions related to interest rate calculations - What effective annual rate of interest does she need to earn on the account to meet her goal

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