What are net income-EBIT ROA-ROA and ROE

Assignment Help Financial Management
Reference no: EM131010335

Cisco Systems has total assets of $2.549 billion, total debt of $1.377 billion, and net sales of $1.515 billion. Its net profit margin for the year is 16 percent, while the operating profit margin is 18 percent. What are Cisco’s net income, EBIT ROA, ROA, and ROE? (Round net income to 3 decimal places, e.g. 25.335. Round EBIT ROA, ROA and ROE to 1 decimal place, e.g.12.2%.)

Reference no: EM131010335

Questions Cloud

What is the net cash flow from the sale of this machine : You purchased a CNC lathe 5 years ago for $150,000. The IRS categorizes this machine as 7 year property. You need to replace the machine with a more efficient model and have just sold the lathe for $50,000. Your firm is in the 25% marginal tax bracke..
Draw a cash-flow diagram from the fathers viewpoint : A father wants to set up a bank account that will pay his daughter $ 15,000 at the end- of- quarter EOQ 4 and $ 25,000 at EOQ 8. He will fund this account by making quarterly payments of $ X from the present ( time zero) through EOQ 7. ( 4.10) a. Dra..
Expected return-standard deviation of return on portfolio : Stock A’s expected return and standard deviation are E[rA] = 8% and ?A= 15%, while stock B’s expected return and standard deviation are E[rB] = 12% and ?B= 21%. a. Determine the expected return and standard deviation of the return on a portfolio with..
Divisions is considering introducing a new product to market : Suppose there is a firm that has several divisions. One of the divisions is considering introducing a new product to the market. If it does not introduce the product, then the firm’s profitability will not change. Assume that market research, correct..
What are net income-EBIT ROA-ROA and ROE : Cisco Systems has total assets of $2.549 billion, total debt of $1.377 billion, and net sales of $1.515 billion. Its net profit margin for the year is 16 percent, while the operating profit margin is 18 percent. What are Cisco’s net income, EBIT ROA,..
Between stockholders wealth and financial decisions : Apple Dividend Discount Model and justify why you think that the stock is currently undervalued, overvalued, or fully valued. Please be sure to state your assumptions and justify your results. What is the relationship, if any, between stockholders’ w..
Cash flow is expected to grow at a constant rate : A 35-year maturity financial security is expected to have a cash flow of $230 one year form today. The cash flow is expected to grow at a constant rate of 12% per year for its life. The required rate of return on asset is 14%. What is the maximum pri..
What is its firms debt-equity ratio : Braam Fire Prevention Corp. has a profit margin of 9.70 percent, total asset turnover of 1.41, and ROE of 18.61 percent. What is its firm's debt-equity ratio? Format to 4 decimal places. 0.36 0.40 0.73 0.32 0.03
Maturity financial security is expected to have a cash flow : A 35-year maturity financial security is expected to have a cash flow of $230 one year form today. The cash flow is expected to grow at a constant rate of 12% per year for its life. The required rate of return on asset is 14%. What is the maximum pri..

Reviews

Write a Review

Financial Management Questions & Answers

  Compute weighted average cost of capital of firm

A firm has a capital structure with $10 in equity and $9 of debt. The cost of equity capital is 0.2 and the pretax cost of debt is 0.07. If the marginal tax rate of the firm is 0.37 compute the weighted average cost of capital of the firm.

  Calculate the time 0 cash flow for this project

Pappy’s Potato has come up with a new product, the Potato Pet (they are freeze-dried to last longer). Pappy’s paid $137,000 for a marketing survey to determine the viability of the product. It is felt that Potato Pet will generate sales of $592,000 p..

  1 fhc inc a us corporation has an account payable due in 90

1 fhc inc. a u.s. corporation has an account payable due in 90 days. use the following information to evaluate the

  The expected return on a portfolio

The expected return on a portfolio: can never exceed the expected return of the best performing security in the portfolio. must be equal to or greater than the expected return of the worst performing security in the portfolio.

  What was the firms end-of-year cash balance

Statement of Cash Flows You have just been hired as a financial analyst for Basel Industries. Unfortunately, company headquarters (where all of the firm's records are kept) has been destroyed by fire. So, your first job will be to recreate the firm's..

  Meaning to the imaginary roots of the irr equation

In your own simple words, compare the usefulness of the IRR rule and NPV rule for capital budgeting decisions. Explain how they are connected and outline how to give meaning to the imaginary roots of the IRR equation.

  Which is more relevant-pre-tax or the aftertax cost of debt

Jiminy’s Cricket Farm issued a 30-year, 7% semiannual bond 3 years ago. The bond currently sells for 93% of its face value. The company’s tax rate is 35%. what is the pretax cost of debt? A) What is the aftertax cost of debt? B) Which is more relevan..

  Decided to restructure firm and become more market-oriented

Your company president has decided to restructure the firm and become more market-oriented. She is going to announce the changes at an upcoming meeting. She has asked you to prepare a short speech outlining the general reasons for the new company ori..

  What is this projects equivalent annual cost or EAC

A five-year project has an initial fixed asset investment of $360,000, an initial NWC investment of $40,000, and an annual OCF of −$39,000. The fixed asset is fully depreciated over the life of the project and has no salvage value. If the required re..

  Pure expectations theory

If the pure expectations theory is correct (that is, the maturity risk premium is zero), which of the following is CORRECT? An upward-sloping Treasury yield curve means that the market expects interest rates to decline in the future. A 5-year T-bond ..

  Another unit of measure for evaluating risk

Another unit of measure for evaluating risk and is used to provide a more meaningful basis for comparing expected returns when the two investments differ is the

  Used to monitor businesss receivables

Which of the following techniques is(are) used to monitor a business's receivables?

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