The comparative financial statements of Marshall Inc. are as
follows. The market price of Marshall common...
The comparative financial statements of Marshall Inc. are as
follows. The market price of Marshall common stock was $82.80 on
December 31, 20Y2.
Question not attempted.
Marshall Inc.
Comparative Retained Earnings Statement
For the Years Ended December 31, 20Y2 and 20Y1
1
20Y2
20Y1
2
Retained earnings, January 1
$3,716,000.00
$3,266,000.00
3
Net income
610,000.00
560,000.00
4
Total
$4,326,000.00
$3,826,000.00
5
Dividends:
6
On preferred stock
$10,000.00
$10,000.00
7
On common stock
100,000.00
100,000.00
8
Total dividends
$110,000.00
$110,000.00
9...
P14-3 Perform
ratio analysis and evaluate financial position and operating
results
Condensed balance sheet and
income...
P14-3 Perform
ratio analysis and evaluate financial position and operating
results
Condensed balance sheet and
income statement data for Landwehr Corporation appear
below and on page 753.
LANDWEHR CORPORATION
Balance Sheets
December 31
2016
2015
2014
Cash
25,000
20,000
18,000
Accounts receivable (net)
50,000
45,000
48,000
Other current assets
90,000
95,000
64,000
Investments
75,000
70,000
45,000
Plant and equipment (net)
400,000
370,000
358,000
640,000
600,000
533,000
Current liabilities
75,000
80,000
70,000
Long-term debt
80,000
85,000
50,000
Common stock, $10 par...
Alberto Inc. currently holds $410,000 of non-operating
marketable securities. Its long-term debt is $1,500,000, but it...
Alberto Inc. currently holds $410,000 of non-operating
marketable securities. Its long-term debt is $1,500,000, but it has
never issued preferred stock. Alberto has 65,000 shares of stock
outstanding. Its current free cash flow is $180,000, and this FCF
is expected to grow at a constant 9% rate. Alberto has never paid a
dividend, and it’s not known when the firm might begin paying
dividends. The weighted average cost of capital WACC is 15%. Based
on this information: (a) Calculate Alberto’s...
Current Assets 30,000,000 Current Liabilities 20,000,000
Fixed Assets 70,000,000 Notes Payable 10,000,000
Total Assets: 100,000,000 Long-term...
Current Assets 30,000,000 Current Liabilities 20,000,000
Fixed Assets 70,000,000 Notes Payable 10,000,000
Total Assets: 100,000,000 Long-term debt 30,000,000
Common Stock 1,000,000
Retained Earnings 39,000,000
Total liabilities & Equity 100,000,000
The notes payable are to banks, and the interest rate on this
debt is 7%, the same as the rate on new bank loans. These bank
loans are not used for seasonal financing but instead are part of
the company's permanent capital structure. The long-term debt
consists of 30,000 bonds, each...
Although Santona Osmann has some short‐term debt, you know that
the company does not use short‐term...
Although Santona Osmann has some short‐term debt, you know that
the company does not use short‐term interest‐bearing debt on a
permanent basis but long‐term debt. You have been informed that the
current price of Santona Osmann’s 9% annual coupon payment,
noncallable bonds with 20 years remaining to maturity is $1,211.88,
with a face value of $1,000.00. New bonds would be privately placed
with no flotation cost.
The firm's marginal tax rate is 35%.
The current price of preferred stocks is...