Hat is the return on assets and return on equity

Assignment Help Financial Management
Reference no: EM131045668

1. The Carpentry Shop has sales of $398,600, costs of $254,800, depreciation expense of $23,400, interest expense of $1,200 and a tax rate of 30 percent. What is the net income for this firm?

2. Daniel’s Market has sales of $36,000 costs of $28,000, depreciation expense of $3,000 and interest expense of $1,500. If the tax rate is 30 percent, what is the operating cash flow, OCF?

3. Andersen’s Nursery has sales of $318,400, costs of $199,400, depreciation expense of $28,600, interest expense of $1,100, and a tax rate of 30 percent. The firm paid out $16,500 in dividends. What is the addition to retained earnings?

4. The Next Life has sales of $450,000, total assets of $150,000, total debt of $90,000 and a profit margin of 6.2 percent. What is the return on assets? What is return on equity?

5. The Green House has a profit margin of 7.0 percent on sales of $300,000. The firm currently has 15,000 shares of stock outstanding at a market price of $15.50 per share. What is the price-earnings ratio?

6. The Black House has total sales of $900,000 and a profit margin of 4%. Currently, the firm has 11,000 shares outstanding. What are the earnings per share?

Reference no: EM131045668

Questions Cloud

What interest rate will the account need to pay : Lundy's Laundromat anticipates they will need to replace all of their machines in 4 years. If Lundy's has $42406 to invest now and they need $75354 in 4 years, what interest rate will the account need to pay? (Assume interest is compounded annually.)
Compute the effective throughput achieved by this connection : Assume that each packet holds 1 KB of data and that the RTT = 100 ms.
Write paper about do firms care who provides their financing : Write a 5-6 page (double spaced) paper based on your understanding of the paper "Do Firms Care Who Provides Their Financing", the text book chapter and the lecture in first person.
How many rtts does it take to send the file : If the time to send the file is given by the number of required RTTs multiplied by the link latency, what is the effective throughput for the transfer? What percentage of the link bandwidth is utilized?
Hat is the return on assets and return on equity : The Carpentry Shop has sales of $398,600, costs of $254,800, depreciation expense of $23,400, interest expense of $1,200 and a tax rate of 30 percent. What is the net income for this firm? The Next Life has sales of $450,000, total assets of $150,000..
Current ratio times what is the quick ratio : SDJ, Inc., has net working capital of $3,710, current liabilities of $5,500, and inventory of $4,440. What is the current ratio? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.) Current ratio times What is..
Health care professionals and allied health professionals : Analyze two career options in the health care industry, in terms of the educational requirements, job responsibilities, and average salaries.
Negotiating passage on serenity as a clandestine fugitive : Simon Tam is negotiating passage on Serenity as a clandestine fugitive from the planet Persephone. He is told that the 219 million kilometer trip to Osiris will cost $3,030. Alternatively, he can take a 349 million kilometer trip to Bellerophon, but ..
What is the shop worth to kaylee today : Kaylee wants to buy a machine shop on Beaumonde and someday retire from space flight. She purchases a contract to buy a little shop 14 years from today. At that time, it will be worth $10,000. What is the shop worth to Kaylee today? Kaylee has a disc..

Reviews

Write a Review

Financial Management Questions & Answers

  Calibration of new production equipment

Mary Chong, capital expenditure manager for PDA Manufacturing, knows that her company is facing a series of monthly expenses associated with installation and calibration of new production equipment. The company has $1 million in a bank account right ..

  Determine that upon retirement

Jack and Jill determine that upon retirement, they will need to withdraw $70,000 annually at the end of each year for the next thirty years. They know that they can earn 4% each year on their investment. How much will Jack and Jill need in their reti..

  Assume an after tax saving interest rate

Assume an after-tax saving interest rate of 6 percent and a tax rate of 28 percent.

  Compare and contrast the main policies

Compare and contrast the main policies of the US Federal Reserve and the European Central Bank over the last 10 years. Based on these policies, identify and contrast the main priorities of these institutions. How do these policies affect exchange rat..

  What annual savings can aqua system expect

Aqua System Inc. expects to have $18,526,400 in credit sales during the coming year. Currently all checks are sent to the home office. A proposed lockbox system can eliminate 1 days of float, releasing funds which, when invested, will earn 12.10 perc..

  Payments of the mortgage into interest and principal payment

You plan to purchase a $130,000 house using a 15-year mortgage obtained from your local bank. The mortgage rate is 5.25 percent. You will make a down payment of 20 percent of the purchase price. a. Calculate your monthly payments on this mortgage 130..

  Discuss the four types of economic systems

Define and discuss the four types of economic systems.  Give examples of countries that utilize these systems. Explain the possible effects of the systems upon the business environment in the countries you chose.

  Calculate its weighted average cost of capital.

The Nutrex Corporation wants to calculate its weighted average cost of capital. Its target capital structure weights are 40 percent long-term debt and 60 percent common equity. The before-tax cost of debt is estimated to be 10 percent and the company..

  Present values and interest rates and between present values

Assume you received $8,000 five years from today. Calculate the present value of the $8,000 if your investments pay. Discuss your answer. Specifically, what do your answers to these questions tell you about the relation between present values and int..

  Account earns compounded monthly

How much will you have in an account after 25 years if you put $1300 per month in the account earns 8% compounded monthly?

  What is the terminal year cash flow

You must evaluate a proposal to buy a new machining station. The base price is $125,000, and shipping and installation costs would add another $15,000. The machine falls into the MACRS 3-year class, and it would be sold after 3 years for $70,000. The..

  How many years is it until this bond matures

The Lo Sun Corporation offers a 6.0 percent bond with a current market price of $788.50. The yield to maturity is 8.40 percent. The face value is $1,000. Interest is paid semiannually. How many years is it until this bond matures?

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