Which of the following is true with respect to NET WORKING
CAPITAL?
A. If a firm’s...
Which of the following is true with respect to NET WORKING
CAPITAL?
A. If a firm’s current ratio is 1, then its net working capital
is 1.
B. If a firm’s current ratio is less than 1, it will have
positive working capital.
C. If a firm’s current ratio is greater than 1, it will have
negative working capital.
D. a, b, and c are all true
E. a, b and c are all not true (false)
Which ratio best...
Question text
Valuation Using Income
Statement Multiples
The following table provides summary data for Target and...
Question text
Valuation Using Income
Statement Multiples
The following table provides summary data for Target and its
competitors, Kohl's and Wal-Mart.
(in millions)
Target
Kohl's
Wal-Mart
Company assumed value
--
$23,098
$237,306
Equity assumed value
--
$22,470
$198,288
NOPAT
$3,159
$1,152
$13,354
Net income
$2,787
$1,109
$12,178
Net nonoperating obligations (assets)
$10,109
$628
$39,018
Common shares outstanding
860 shares
321 shares
41 shares
(a) Compute the price
to NOPAT ratio for both Kohl's and Wal-Mart.
Round your answers to
two...
When computing external financing needed,
A. you’ll need to construct a current year income statement in...
When computing external financing needed,
A. you’ll need to construct a current year income statement in
order to determine the retention ratio.
B. Generally assets will increase proportionate to sales.
C. Total assets must be equal to total liabilities plus total
owners equity.
D. Both A and C.
e. All of the above.
17. Curly, Larry & Moe Company had net income of $130,000
for the current year. The...
17. Curly, Larry & Moe Company had net income of $130,000
for the current year. The income statement reveals depreciation
expenses of $8,000; a loss of $12,000 and gains of $6,000.
Comparative balance sheets reveals that certain CA increased
$10,000 and other CA accounts decreased $14,000; some of the CL
went up $14,000 and others went down $21,000. Determine the net
cash flows from operating activities using the indirect method.
a. $201,000
b. $155,000
c. $141,000
...
Using the following balance sheet and income statement data,
what is the current ratio?
Current assets...
Using the following balance sheet and income statement data,
what is the current ratio?
Current assets
$20400
Net income
$42900
Current liabilities
9800
Stockholders' equity
66800
Average assets
138000
Total liabilities
29000
Total assets
90600
Average common shares outstanding was 17000.
0.70 : 1
3.12 : 1
0.63 : 1
2.08 : 1
SHOW YOUR WORK FOR CALCULATION PROBLEMS
Given the following information, calculate: (a) current ratio,
(b) quick/acid-test...
SHOW YOUR WORK FOR CALCULATION PROBLEMS
Given the following information, calculate: (a) current ratio,
(b) quick/acid-test ratio, (c) Total debt or leverage ratio, (d)
Return on Assets, (e) Net Margin, (f) Return on Equity, (g) Asset
Turnover, (h) Earnings Retention Ratio
SUMMARY BALANCE SHEET
ASSETS LIABILITIES
& SH EQUITY
Cash & Equivalents $2,000 Accounts
Payable $6,000
Accounts Receivable 7,000 Notes
Payable 4,000
Inventory 5,000 Current
Liabilities $10,000
Current Assets $14,000
Prepaid Expense
$2,000 Long-term
Debt $9,000
P, P & E
(net) $20,000 SH
Equity $17,000
Total
Assets $36,000 Total
Liab & SH Eq...
Please calculate the following based on the facts
provided:
a. Gross Margin Ratio: Net sales =...
Please calculate the following based on the facts
provided:
a. Gross Margin Ratio: Net sales =
$1,000,000.00 & Cost of Goods Sold =
$200,000.
b. Return on assets ratio (ROA): Net Income
= $350,000 & Average Total Assets = $2,500,000
c. Return on Equity (ROE): Net Income =
$350,000 & Shareholder's Equity = $5,000,000.
d. Customer Acquisition Cost (CAC):
Sales/Marketing Costs = $450,000 & number of new customers
1,000.
e. Current Liquidity Ratio: Current
Assets = $1,200,000 & Current Liabilities=...