Ratios makes firms comparisons difficult

Assignment Help Financial Management
Reference no: EM13870774

Which of the following ratios makes firms comparisons difficult?

a. eps

b. payout

c. roa

d. roe

e. none

Reference no: EM13870774

Questions Cloud

What is the expected return on the market and risk-free rate : You have been given the following information on two corporations; you are to assume that the securities are correctly priced. My Corp, Inc. has a Beta of 1.35 and an Expected Return of .075; Your Corp, Inc. has a Beta of .65 and an Expected Return o..
Calculate their after tax cost of debt expressed : A corporation has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. The Corporation has several outstanding bond issues all of which require semi annual interest payments.
Compute the bonds current yield : A 4.85 percent coupon municipal bond has 22 years left to maturity and has a price quote of 103.70. The bond can be called in eight years. The call premium is one year of coupon payments. Compute the bond’s current yield. Compute the Yield to Maturit..
Employee compensation and benefits : HR audit topics addressed include: Affirmative action laws, EEO, Discrimination, Workplace harassment, Termination, Communication, Salary and pay, Discipline, Safety, Health and security, Retirement and pension, Benefits, and just added managing f..
Ratios makes firms comparisons difficult : Which of the following ratios makes firms comparisons difficult?
Assume that the maturity risk premium is zero : The Wall Street Journal reports that the current rate on 5-year Treasury bonds is 2.50 percent and on 10-year Treasury bonds is 4.65 percent. Assume that the maturity risk premium is zero. Calculate the expected rate on a 5-year Treasury bond purchas..
Five-year loan agreement to purchase a piece of property : Double Circle, Inc. just signed a five-year loan agreement to purchase a piece of property. If the property cost was $160,000, what would be the size of each equal semi-annual payments to amortize the loan at an interest rate of 10%? How much interes..
Semi annual coupon bond with face value-yield to maturity : A semi annual coupon bond with face value of $1000 has a coupon rate of 8% and matures in 12 years. The market-determined discount rate on this bond is 9%. What is the price of the bond? Round to the penny. What is the coupon rate of a bond with a fa..
About the consistency of investors preferences : Suppose that we interview a group of investors who chose to invest 40% of their portfolio in small US stocks and 60% in the risk-free asset. We then ask them which asset from (2) that they prefer. Most answer that they prefer. what does this imply ab..

Reviews

Write a Review

Financial Management Questions & Answers

  Comprehensive understanding of the financial environment

Compare and appraise theories that underlie current thinking in Corporate Finance and Investment, demonstrate and evaluate how these theories can be applied in practical situations,

  What do you foresee happening in the razor market

(Based on WSJ article) One of the most important factors in company success is having a true competitive advantage. It is the firm’s competitive advantage that allows it to earn above average risk-adjusted returns. For years Gillette’s technology and..

  Examine the degree of strategy linkage

Ensure best resources allocations regarding to the quantity and competences and ensure that all undertake projects are alignment to organization strategy and examine the degree of strategy linkage.

  What is the value of the common stock

If a firm pays a $2 dividend and that is expected to remain constant, what is the value of the common stock, if the firm’s required rate of return is 16%?

  How do price-earnings ratio and the market-book ratio

How do price/earnings ratio and the market/book ratio provide a feel for the firms riskiness as perceived by the investors who trade the firm’s stock?

  Suppose that you have placed money in two funds

Suppose that you have placed money in 2 Funds: Fund A and Fund B. Fund A accumulates at 9% effective and Fund B at 8% effective. At the end of 10 years, the total of the two funds is 52,000. At the end of 8 years, the amount in Fund B is three times ..

  Why did you choose this particular model

Why did you choose this particular model? Support your decision and what other issues would you consider when selecting a bank with the intent to do business?

  Immediately after coupon payment-calculate the market price

A $10,000 par value bond with coupons at 8%, convertible semi-annually, is being sold three years and four months before the bond matures. The bond is redeemable at $C, and purchase will yield 6% convertible semi-annually to the buyer.

  What will be the immediate effect on the trade balance

The table below gives information on foreign trade for a country. a. Using the initial information, what is the country’s trade deficit? b. If the government undertakes policies to depreciate the currency 18%, what will be the immediate effect on the..

  1you are a bond investor and youre examining a callable

1.you are a bond investor and youre examining a callable bond. it can be called in 5 years. it is a semiannual bond.

  Explain the role of the us federal reserve the federal

describe how the u.s. financial markets impact the economy businesses and individuals.explain the role of the u.s.

  What is the present value of growth opportunities

Huron Manufacturing plans to pay a dividend of $5 per share. The growth rate is 7 percent and the discount rate is 12 percent. What is the present value of growth opportunities (PVGO)?

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