Question

4) Fixed Assets: 915 642 947 TL, Current Assets: 377 851 878 TL, Short-Term Liability: 238 802 542 TL, Long-Term Liability:210 752 421 TL, Total shares: 191 447 068,

According to above information, calculate financial leverage, net working capital, equity and equity value per share.

Answer 1

calculation of financial leverage

financial leverage = total debt /shareholders equity

total debt =short term liablities + long term liablities

=238 802 542 TL + 210 752 421 TL

=449 554 963 TL

shareholders equity =total assets - total liablities

=129 349 4525 TL - 449 554 963 TL

=843 939 562 TL

financial leverage =449 554 963 TL / 843939562 TL

=0.5326

net working capital=current assets - current liablities

=377 851 878 TL - 238 802 542 TL

=139 049 336 TL

shareholders equity = total assets - total liablities

=129 349 4525 TL - 449 554 963 TL

= 843 939 562 TL

equity value per share= shareholders equity / total number of equity shares

= 843 939 562 TL / 191 447 068 TL

=4.408 TL per share