Find the followingBasic earnings power M Ch 3a Problems Dezto.mh.pdf

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Find the following: Basic earnings power M Ch 3a Problems Dezto.mheducation.com/hm.tpx?-- 0.02562706850698704-1455040771836 a Home | Chegg.com value 50.00 points Use the following financial statements for Lake of Egypt Marina, Inc LAKE OF EGYPT MARINA, INC Balance Sheet as of December 31, 2012 and 2011 (in millions of dollars) 2012 2011 2012 2011 Assets Current assets Liabilities and Equity Current liabilities Cash and marketable securities Accounts receivable Inventory $45 $36 32 148 40 223 Accrued wages and taxes Accounts payable Notes payable $40 20 24 32 35 30 Total Long term debt Stockholders\' equity Total $ 308 $ 216 $105 $ 76 $ 67 200 Fixed assets $ 255 Gross plant and equipment Less: Depreciation 200 40 Preferred stock (4 million shares) $ 4 16 Common stock and paid in surplus 16 (16 million shares) Retained earnings $167$ 160 308 Net plant and equipment Other long term assets 104 25 24 $ 192 184 $ 500 400 Total Total $ 328 124 Total assets Total liabilities and equity $ 500 400 LAKE OF EGYPT MARINA, INC Income Statement for Years Ending December 31, 2012 and 2011 (in millions of dollars) 2012 2011 Net sales (all credit) Less: Cost of goods sold $ 800 600 192 320 ross profits $ 480 $408 [D 11:03 AM 2/9/2016 Start Search the web and Windows Desktop Solution Basic Earingns Power = Earning Before Interest & Taxes / Total Assets ------>> For 2012: $368 / $500 = 0.736 or 73.6% ------>> For 2011: $342 / $400 = 0.855 0r 85.5%.

Find the following: Average payment period Fixed assest turnover Sales to working capital Total assest turnover Capital intensity Debt ratio M Ch 3a Problems Dezto.mheducation.com/hm.tpx?--0.02562706850698704- 1455040771836 a Home | Chegg.com value 50.00 points Use the following financial statements for Lake of Egypt Marina, Inc LAKE OF EGYPT MARINA, INC Balance Sheet as of December 31, 2012 and 2011 (in millions of dollars) 2012 2011 2012 2011 Assets Current assets Liabilities and Equity Current liabilities Cash and marketable securities Accounts receivable Inventory $45 $36 32 148 40 223 Accrued wages and taxes Accounts payable Notes payable $40 20 24 32 35 30 Total Long term debt Stockholders\' equity Total $ 308 $ 216 $105 $ 76 $ 67 200 Fixed assets $ 255 Gross plant and equipment Less: Depreciation 200 40 Preferred stock (4 million shares) $ 4 16 Common stock and paid in surplus 16 (16 million shares) Retained earnings $167$ 160 308 Net plant and equipment Other long term assets 104 25 24 $ 192 184 $ 500 400 Total Total $ 328 124 Total assets Total liabilities and equity $ 500 400 LAKE OF EGYPT MARINA, INC Income Statement for Years Ending December 31, 2012 and 2011 (in millions of dollars) 2012 2011 Net sales (all credit) Less: Cost of goods sold $ 800 600 192 320 ross profits $ 480 $408 [D 11:03 AM 2/9/2016 Start Search the web and Windows Desktop Solution All values caluclated for 2012: --------------------------------- Average payment period=(account payable*365)/COGS =(35*365)/320= 39.92 days Fixed assest turnover= sales/Fixed assets =(800/192)=4.17 Sales to working capital= sales/(Working capital) working capital= current assets-current liabilty =800/(308-105)=3.94 Total assest turnover= sales/assets =800/500=1.6 Capital intensity= assets/sales =500/800=.625 Debt ratio= debt/Assets =(500-328)/500=.344.

LAKE OF EGYPT MARINA, INCBalance Sheet as of December 31, 2012 an.docx

festockton

LAKE OF EGYPT MARINA, INC Balance Sheet as of December 31, 2012 and 2011 (in millions of dollars) 2012 2011 2012 2011 Assets Liabilities and Equity Current assets: Current liabilities: Cash and marketable securities $ 45 $ 36 Accrued wages and taxes $ 40 $ 20 Accounts receivable 40 32 Accounts payable 35 24 Inventory 195 148 Notes payable 30 32 Total $ 280 $ 216 Total $ 105 $ 76 Fixed assets: Long term debt: $ 130 $ 200 Gross plant and equipment $ 255 $ 200 Stockholders’ equity: Less: Depreciation 60 40 Preferred stock (4 million shares) $ 4 $ 4 Common stock and paid in surplus (16 million shares) 16 16 Net plant and equipment $ 195 $ 160 Retained earnings 245 104 Other long term assets 25 24 Total $ 220 $ 184 Total $ 265 $ 124 Total assets $ 500 $ 400 Total liabilities and equity $ 500 $ 400 LAKE OF EGYPT MARINA, INC. Income Statement for Years Ending December 31, 2012 and 2011 (in millions of dollars) 2012 2011 Net sales (all credit) $ 500 $ 300 Less: Cost of goods sold 200 105 Gross profits $ 300 $ 195 Less: Depreciation 20 12 Other operating expenses 25 18 Earnings before interest and taxes (EBIT) $ 255 $ 165 Less: Interest 25 15 Earnings before taxes (EBT) $ 230 $ 150 Less: Taxes 69 45 Net income $ 161 $ 105 Less: Preferred stock dividends $ 4 $ 4 Net income available to common stockholders $ 157 $ 101 Less: Common stock dividends 16 16 Addition to retained earnings $ 141 $ 85 Per (common) share data: Earnings per share (EPS) $ 9.813 $ 6.313 Dividends per share (DPS) $ 1.000 $ 1.000 Book value per share (BVPS) $ 16.313 $ 7.500 Market value (price) per share (MVPS) $ 15.700 $ 10.500 Spread the balance sheets of Lake of Egypt Marina, Inc., for 2012 and 2011. (Be sure to list the assets and liabilities in order of their liquidity. Input all amounts as positive values. Round your answers to 2 decimal places.) LAKE OF EGYPT MARINA, INC Balance Sheet as of December 31, 2012 and 2011 (in millions of dollars) 2012 2011 Assets Current Assets % % Total Fixed assets: .

Eli- 16 httpedugen.wiley.comledugensharedJassignmentltest.docx

jack60216

Eli- 16 http://edugen.wiley.comledugen/sharedJassignmentltest/qprint.uni Print by: RANDALL LUCAS ACC/ 291 - 40918999 I Week Four Assignment E11-16 Before preparing financial statements for the current year, the chief accountant for Springer Company discovered the following errors in the accounts. 1. The declaration and payment of $50,000 cash dividend was recorded as a debit to Interest Expense $50,000 and a credit to Cash $50,000. 2. A 10% stock dividend (1,000 shares) was declared on the $10 par value stock when the market value per share was $16. The only entry made was: Retained Earnings (Dr.) $10,000 and Dividend Payable (Cr.) $10,000. The shares have not been issued. 3. A 4-for-i stock split involving the issue of 400,000 shares of $5 par value common stock for 100,000 shares of $20 par value common stock was recorded as a debit to Retained Earnings $2,000,000 and a credit to Common Stock $2,000,000. Prepare the correcting entries at December 31. (For multiple debit/credit entries, list amounts from largest to smallest e.g. 10, 5, 3, 2.) CCoUflt/ DescriDtion Debit’ Credit Ii. Dec. bi I I I I I II 12. Dec. L31 I____________________________ I i___________________________________________________________________ I I I I I I Ii 13. Dec. bi I I I I Ii 1.1 I I Question Attempts: 0 of 3 used Copyright © 2000-2013 by John Wiley & Sons, Inc. or related companies. All rights reserved. 1 of 1 1/18/13 1:57 PM P1 3-9A http://edugen.wiley.comledugen/shared/assignmentltestlqprint.uni Print by: RANDALL LUCAS ACC/291. - 40918999 / Week Five Assignment P13-9A Condensed financial data of Arma Inc. follow. ARMA INC. Comparative Balance Sheets December 31 Assets 2011 2010 Cash $90,800 $48,400 Accounts receivable 92,800 33,000 Inventories 112,500 102,850 Prepaid expenses 28,400 26,000 Investments 138,000 114,000 Plant assets 270,000 242,500 Accumulated depreciation (50,000) (52,000) Total $682,500 $514,750 Liabilities and Stockholders’ Eauitv Accounts payable $112,000 $67,300 Accrued expenses payable 16,500 17,000 Bonds payable 110,000 150,000 Common stock 220,000 175,000 Retained earnings 224,000 105,450 Total $682,500 $514,750 ARMA INC. Income Statement For the Year Ended December 31, 2011 Sales $392,780 Less: Cost of goods sold $135,460 Operating expenses, excluding depreciation 12,410 Depreciation expense 46,500 Income taxes 27,280 Interest expense 4,730 Loss on sale of plant assets 7,500 233,880 Net income $158,900 Additional information: 1. New plant assets costing $85,000 were purchased for cash during the year. 2. Old plant assets having an original cost of $57,500 were sold for $1,500 cash. 3. Bonds matured and were paid off at face value for cash. 4. A cash dividend of $40,350 was declared and paid during the year. Complete the statement of cash flows using the indirect method. (List amounts from largest I of 3 1/18/13 2:01 PM P13-9A http://edugen.w iley.comledugenfshared/assignment/restlqprint.uni positive ...

Coca-Cola Financial Analysis

Elie Obeid

Exercise 12-5 Evaluate risk ratios [LO3]The 2012 income statem.docx

gitagrimston

Exercise 12-5 Evaluate risk ratios [LO3] The 2012 income statement of Adrian Express reports sales of $16 million, cost of goods sold of $9.6 million, and net income of $1.6 million. Balance sheet information is provided in the following table. All amounts are in thousands. ADRIAN EXPRESS Balance Sheets December 31, 2012 and 2011 ($ in 000s) 2012 2011 Assets Current assets: Cash $ 600 $ 760 Accounts receivable 1,400 1,000 Inventory 1,800 1,400 Long-term assets 4,800 4,240 Total assets $ 8,600 $ 7,400 Liabilities and Stockholders' Equity Current liabilities $ 2,020 $ 1,660 Long-term liabilities 2,300 2,400 Common stock 2,000 2,000 Retained earnings 2,280 1,340 Total liabilities and stockholders' equity $ 8,600 $ 7,400 Industry averages for the following four risk ratios are as follows: Average collection period 25 days Average days in inventory 60 days Current ratio 2 to 1 Debt to equity ratio 50% Required: 1. Calculate the four risk ratios listed above for Adrian Express in 2012. (Use 365 days in a year. Round your answers to 1 decimal place. Omit the "%" sign in your response.) Risk Ratios Average collection period days Average days in inventory days Current ratio to 1 Debt to equity ratio % 2. Do you think the company is more risky or less risky than the industry averages? The 2012 income statement of Adrian Express reports sales of $16 million, cost of goods sold of $9.6 million, and net income of $1.6 million. Balance sheet information is provided in the following table. All amounts are in thousands. ADRIAN EXPRESS Balance Sheet December 31, 2012 and 2011 ($ in 000s) 2012 2011 Assets Current assets: Cash $ 600 $ 760 Accounts receivable 1,400 1,000 Inventory 1,800 1,400 Long-term assets 4,800 4,240 Total assets $ 8,600 $ 7,400 Liabilities and Stockholders' Equity Current liabilities $ 2,020 $ 1,660 Long-term liabilities 2,300 2,400 Common stock 2,000 2,000 Retained earnings 2,280 1,340 Total liabilities and stockholders' equity $ 8,600 $ 7,400 Industry averages for the following four risk ratios are as follows: Gross profit ratio 45 % Return on assets 25 % Profit margin 15 % Asset turnover 2.5 times Return on equity 35 % Required: 1. Calculate the five profitability ratios listed above for Adrian Express. (Round your answers to the nearest whole number. Omit the "%" sign in your response.) Profitability Ratios Gross profit ratio % Return on assets % Profit margin % Asset turnover times Return on equity % 2. Do you think the company is more profitable or less profitable than the industry averages? The balance sheet for P ...

The balance sheet and income statement shown below are for Kryloc In.docx

todd541

Acct504 final exam 100% correct answers

kjgjkgjg87987

Here are my evaluations of the internal control procedures: 1. Everyone has access to the petty cash fund. This is a weakness. The principle of segregation of duties is violated when everyone has access to the petty cash fund. A recommendation would be to assign one person as the custodian of the petty cash fund and require receipts for all disbursements. 2. Cash register codes are assigned to each cashier. This is a strength. The principle of accountability is upheld by assigning unique cash register codes to each cashier, allowing the business to track cash register activity to individual cashiers. 3. The treasurer is the only one allowed to sign checks. This is a

Calculating EFN The most recent financial statements for Moose Tours.pdf

ajantaimmitation888

Calculating EFN The most recent financial statements for Moose Tours, Inc., appear below. Sales for 2012 are projected to grow by 20 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. MOOSE TOURS, INC. 2011 Income Statement Sales $ 836,100 Costs 650,700 Other expenses 17,100 Earnings before interest and taxes $ 168,300 Interest expense 12,600 Taxable income $ 155,700 Taxes 54,495 Net income $ 101,205 Dividends $ 30,300 Addition to retained earnings 70,905 MOOSE TOURS, INC. Balance Sheet as of December 31, 2011 Assets Liabilities and Owners’ Equity Current assets Current liabilities Cash $ 24,035 Accounts payable $ 64,600 Accounts receivable 38,665 Notes payable 16,150 Inventory 82,555 Total $ 80,750 Total $ 145,255 Long-term debt $ 150,000 Fixed assets Owners’ equity Net plant and equipment $ 392,350 Common stock and paid-in surplus $ 130,000 Retained earnings 176,855 Total $ 306,855 Total assets $ 537,605 Total liabilities and owners’ equity $ 537,605 If the firm is operating at full capacity and no new debt or equity is issued, what external financing is needed to support the 20 percent growth rate in sales? Solution EFN = Total assets – Total liabilities and equity Proforma Income Statement Projected Particulars Amount % Particulars Amount Sales 836,100 100.00 Sales 1,003,320 Less : Costs 650,700 77.83 Less : Costs 780,840 Other Expenses 17,100 2.05 Other Expenses 20,520 EBIT 168,300 20.13 EBIT 201,960 Interest 12,600 Interest 12,600 Taxable Income 155,700 Taxable Income 189,360 Taxes 54,495 35.00 Taxes 66,276 Net Income 101,205 Net Income 123,084 Dividends 30,300 29.94 Dividends 36,850 Additon to retain earnings 70,905 Additon to retain earnings 86,234 Balance Sheet Assets Amount % Liabilities and Owners’ Equity Amount % Current assets Current liabilities Cash 24,035 Accounts Payable 64,600 Accounts Receivable 38,665 Notes Payable 16,150 Inventory 82,555 80,750 15.02 145,255 37.02 Fixed assets : Long Term Debt 150,000 Net plant and equipment 392,350 72.98 Owners’ equity Common stock and paid-in surplus 130,000 Retained earnings 176,855 306,855 537,605 100.00 537,605 Balance Sheet(Projected) Assets Amount % Liabilities and Owners’ Equity Amount % Current assets Current liabilities Cash 28,842 Accounts Payable 77,520 Accounts Receivable 46,398 Notes Payable 19,380 Inventory 99,066 96,900 15.141 174,306 37.02 Fixed assets : Long Term Debt 150,000 Net plant and equipment 470,820 72.98 Owners’ equity Common stock and paid-in surplus 130,000 Retained earnings(176,855+86,234) 263,089 393,089 645,126 100.00 639,989 EFN 5,137 Proforma Income Statement Projected Particulars Amount % Particulars Amount Sales 836,100 100.00 Sales 1,003,320 Less : Costs 650,700 77.83 Less : Costs 780,840 Other Expenses 17,100 2.05 Other Expenses 20,520 EBIT 168,300 20.13 EBIT 201,960 Interest 12,.

I am working on a Supply Chain problem and I am struggling to find the following: Profit Margin Asset Turnover Cash to Cash (C2C) Accounts Receivable Turnover (ART) Inventory Turnover (INVT) Property, plant, and equipment Turnover (PPET) Please show work so I can follow! Year End January 31, 2013 ($ millions) Net Operating Revenues Cost of Goods Sold Gross Profit Selling, General and administrative expense Operating Income Interest Expense Other income (loss) net Income before income taxes ncome taxes Net Income Walmart 469,162 352,488 1,166,745 88,873 27,801 2,251 187 25,737 7,981 17,756 Assets Cash and cash equivalents Net receivables Inventories Total current assets Property, plant, and equipment Goodwill Other assets Total assets 7,781 6,768 43,803 59,940 116,681 20,497 5,987 203,105 Liabilities and Stockholder Equity Accounts payable Short-term debt Total current liability Long-termm debt Total liabilities Stockholder equity 59,099 12,719 71,818 41,417 126,243 76,343 Solution = Net income/net sales x100 =$17,756/$469,162 x 100 =3.78 =Net sales/Average total assets =$469,162/$203,105 =2.31 = Cash + Cash equivalents/ =$7,781/$71,818=0.11 4.Accounts receivable turnover =Net credit sales/Average accounts receivables =$469,162/$6,768=69.32 5.Inventory Turnover =Cost of Goods sold/Average inventory =$352,488/$43,803 =8.05 6.Property ,Plant and equipment Turnover =Net sales/ Net Property ,Plant and equipment =$469,162/$116,681 =4.02.

1. (TCO A) Below you will find selected information (in millions) .docx

hyacinthshackley2629

1. (TCO A) Below you will find selected information (in millions) from Coca-Cola Co.’s 2012 Annual Report. Income Taxes Payable $471 Short-term Investments and Marketable Securities 8,109 Cash 8,442 Other non-current Liabilities 10,449 Common Stock 1,760 Receivables 4,812 Other Current Assets 2,973 Long-term Investments 10,448 Other Non-current Assets 3,585 Property, Plant and Equipment 23,486 Trademarks 6,527 Other Intangible Assets 20,810 Allowance for Doubtful Accounts 53 Accumulated Depreciation 9,010 Accounts Payable 8,680 Short Term Notes Payable 17,874 Prepaid Expenses 2,781 Other Current Liabilities 796 Long-Term Liabilities 14,736 Paid-in-Capital in Excess of Par Value 11,379 Retained Earnings 55,038 Inventories 3,264 Treasury Stock 35,009 Other information taken from the Annual Report. Sales Revenue for 2012 $48,017 Cost of Goods Sold for 2012 19,053 Net Income for 2012 9,019 Inventory Balance on 12/31/11 3,092 Net Accounts Receivable Balance on 12/31/11 4,920 Total Assets on 12/31/11 79,974 Equity Balance on 12/31/11 31,921 Required: 1: Using the information provided prepare a Balance Sheet. Separate the current assets from non-current assets and provide a total for each. Also, separate the current liabilities from the non-current liabilities and provide a total for each. 2: Using the Balance Sheet from your answer above, calculate the Current Ratio and Return on common stockholders’ equity. (Points : 36) Question 2.2. (TCO B) The following selected data was retrieved from the Walmart, Inc. financial statements for the year ending January 31, 2013. Accounts Payable $38,080 Accounts Receivable 6,768 Cash 7,781 Common Stock 3,952 Cost of Goods Sold 352,488 Income Tax Expense 7,981 Interest Expense 2,064 Membership Revenues 3,048 Net Sales 466,114 Operating, Selling and Administrative Expenses 88,873 Retained Earnings 72,978 Required: 1: Using the information provided above, prepare a multiple-step income statement. 2: Calculate the Profit Margin, and Gross profit rate for the company. Be sure to provide the formula you are using, show your calculations, and discuss your findings and results.(Points : 36) Question 3.3. 45. (TCO C) Please review the following real-world Hewlett Packard Statement of Cash flows and address the two questions below. Cash flow from operating activities In millions In millions For the year ended 2012 For the year ended 2011 Net (loss) earnings $(12,650) $7,074 Depreciation and amortization 5,095 4,984 Impairment of goodwill and purchased intangible assets 18,035 885 Stock-based compensation expense 635 685 Provision for doubtful accounts 142 81 Provision for inventory 277 217 Restructuring charges 2,266 645 Deferred taxes on earnings (711) 166 Excess tax benefit from stock-based competition (12) (163) Other, net 265 (46) Accounts and financing receivables 1,269 (227) Inventory 890 (1,252) Accounts payable (1,414) 275 Taxes on earnings (320) 610 Restructuring (840) (1,002) Other asse.

ED-16 Computing trend analysisMagic Oaks Realty’s net revenue a.docx

MARRY7

ED-16 Computing trend analysis Magic Oaks Realty’s net revenue and net income for the following five year period using 2012 as the base year, follow: 2016 2015 2014 2013 2012 Net Revenue $ 1,310,000 $ 1,187,000 $ 1,110,000 $ 1,011,000 $ 1,045,000 Net Income 122,000 113,000 84,000 72,000 83,000 Requirements 1. Compute trend analysis for net revenue and net income. Round to the nearest full percent. 2. Which grew faster during the period, net revenue or net income? Comprehensive Problem D Analyzing a company for its investment potential In its annual report WRS Athletic Supply Inc includes the following five year financial summary. WRS ATHLETIC SUPPLY, INC. Five-Year Financial Summary (Partial; adapted) (Dollar amounts in thousands except per share data) 2018 2017 2016 2015 2014 2013 Net Sales $244,524 $217,799 $191,329 $165,013 $137,634 Net Sales Increase 12% 14% 16% 20% 17% Domestic Comparative Store Sales Increase 5% 6% 5% 8% 9% Other Income—Net 2,001 1,873 1,787 1,615 1,391 Cost of Goods Sold 191,838 171,562 150,255 129,664 108,725 Operating, Selling, and General and Administrative Expenses 41,236 36,356 31,679 27,408 22,516 Interest: Interest Expense (1,063) (1,357) (1,383) (1,045) (803) Interest Income 138 171 188 204 189 Income Tax Expense 4,487 3,897 3,692 3,338 2,740 Net Income 8,039 6,671 6,295 5,377 4,430 Per Share of Common Stock: Net Income 1.81 1.49 1.41 1.21 0.99 Dividends 0.30 0.28 0.24 0.20 0.16 Financial Position Current Assets, Excluding Merchandise Inventory $ 30,483 $ 27,878 $ 26,555 $ 24,356 $ 21,132 Merchandise Inventory at LIFO Cost 24,891 22,614 21,442 19,793 17,076 $16,497 Property, Plant, and Equipment, Net 51,904 45,750 40,934 35,969 25,973 Total Assets 94,685 83,527 78,130 70,349 49,996 Current Liabilities 32,617 27,282 28,949 25,803 16,762 Long-term Debt 22,731 21,143 17,838 18,712 12,122 Shareholders’ Equity 39,337 35,102 31,343 25,834 21,112 Financial Ratios Acid-test Ratio 0.9 1.0 0.9 0.9 1.3 Rate of Return on Total Assets 10.2% 9.9% 10.3% 10.7% 9.6% Rate of Return on Shareholders’ Equity 21.6% 20.1% 22.0% 22.9% 22.4% Requirements 1. Analyze the company’s financial summary for the fiscal years 2014–2018 to decide whether to invest in the common stock of WRS Include the following sections in your analysis, and fully explain your final decision. 1. Trend analysis for net sales and net income (use 2014 as the base year). 2. Profitability analysis. 3. Evaluation of the ability to sell merchandise inventory (WRS uses the LIFO method). 4. Evaluation of the ability to pay debts. 5. Evaluation of dividends. ...

How much is that doggy in the window the cost of holding dead inventory

Tom Shay

financial_management_solved_problems

Ekta Doger

This document contains examples and solutions for calculating real interest rates, preparing balance sheets, cash flow statements, and financial ratios. It discusses the error in using a rule of thumb to calculate real rates compared to the correct formula. It also shows how to prepare balance sheets according to the Companies Act format, and classified cash flow statements along with the cash flow identity. Finally, it demonstrates the calculation of times interest covered, inventory turnover, and current ratios using financial information provided.

Exam 061684RR - THE IMPACT OF MANAGEMENT Questions 1 to 20 S.docx

gitagrimston

Exam: 061684RR - THE IMPACT OF MANAGEMENT Questions 1 to 20: Select the best answer to each question. Note that a question and its answers may be split across a page break, so be sure that you have seen the entire question and all the answers before choosing an answer. 1. Brittman Corporation makes three products that use the current constraint-a particular type of machine. Data concerning those products appear below: IP NI YD Selling price per unit $183.57 $207.74 $348.15 Variable cost per unit $144.42 $155.04 $269.50 Minutes on the constraint 2.90 3.40 5.50 Assume that sufficient constraint time is available to satisfy demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of the constrained resource? A. $39.15 per unit B. $15.50 per minute C. $78.65 per unit D. $13.50 per minute 2. A project profitability index greater than zero for a project indicates that A. there has been a calculation error. B. the project is unattractive and shouldn't be pursued. C. the company should reevaluate its discount rate. D. the discount rate is less than the internal rate of return. 3. A company's current ratio and acid-test ratios are both greater than 1. If obsolete inventory is written off, this would A. decrease the current ratio. B. increase net working capital. C. decrease the acid-test ratio. D. increase the acid-test ratio. Use the following information to answer this question. Financial statements for Larkins Company appear below: Larkins Company Statement of Financial Position December 31, Year 2 and Year 1 (dollars in thousands) Year 2 Year 1 Current assets: Cash and marketable securities $180 $180 Accounts receivable, net 210 180 Inventory 130 120 Prepaid expenses 5050 Total current assets 570 530 Noncurrent assets: Plant & equipment, net 1,540 1,480 Total assets $2,110 $2,010 Current liabilities: Accounts payable $100 $130 Accrued liabilities 60 60 Notes payable, short term 90120 Total current liabilities 250 310 Noncurrent liabilities: Bonds payable 480500 Total liabilities 730810 Stockholders' equity: Preferred stock, $20 par, 10% 120 120 Common stock, $10 par 180 180 Additional paid-in capital--common stock 240 240 Retained earnings 840660 Total stockholders' equity 1,3801,200 Total liabilities & stockholders' equity $2,110 $2,010 Larkins Company Income Statement For the Year Ended December 31, Year 2 (dollars in thousands) Sales (all on account) $2,760 Cost of goods sold 1,930 Gross margin 830 Selling and administrative expense 330 Net operating income 500 Interest expense 50 Net income before taxes 450 Income taxes (30%) 135 $315 Net income Dividends during Year 2 totaled $135 thousand, of which $12 thousand were preferred dividends. The market price of a share of common stock on December 31, Year 2 was $150. 4. Larkins Company's dividend payout ...

The Coca-Cola Company - Financial Analysis and Projections

Raeann Bailey

The Coca-Cola Company is the world's largest beverage company operating in over 200 countries. In 2011, it generated $46.5 billion in net operating revenues and $8.6 billion in net income. The company owns or licenses over 500 beverage brands, including its biggest brands, Coca-Cola, Diet Coke, Fanta and Sprite. It has a large global distribution system and employs over 146,000 people worldwide. In 2010, it acquired Coca-Cola Enterprise's North American business for $12.3 billion to gain additional market share in North America.

Acct 504 final exam

scorpiosns123

This document provides a summary of an ACCT 504 final exam with multiple choice and problem-solving questions related to accounting concepts. The exam covers topics such as sole proprietorships, dividends, financial statements, ratios, cash flows, journal entries, and internal controls. Students are asked to calculate ratios, prepare financial statements, analyze internal controls, record journal entries, and indicate sections of the statement of cash flows.

Acct 504 final exam

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Acct 504 final exam

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This document appears to be a study guide for an ACCT 504 final exam. It contains 14 multiple choice questions covering various accounting concepts related to sole proprietorships, dividends, financial statements, inventory cost flow assumptions, bonds, cash flows, ratio analysis, and internal controls. The questions would help test a student's understanding of topics like the advantages of different business forms, the accounting equation, accrual accounting, inventory methods, bond issuance, and financial statement analysis techniques.

Acct 504 final exam

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Acct 504 final exam

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Acct 504 final exam

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Ch02 P14 Build a Model Spring 1, 201372212Chapter 2. Ch 02 P14.docx

arnit1

Joshua & White Technologies' financial statements for 2009 and 2010 are provided. The assistant is asked to analyze various ratios and perform common size and percentage change analyses to evaluate changes in the company's liquidity, asset management, profitability, and financial position between the two years. Specifically, the assistant calculates ratios such as the current ratio, inventory turnover, return on assets, and performs DuPont, common size, and percentage change analyses on the income statement, balance sheet, key line items, and ratios.

Flag this QuestionQuestion 11 ptsA debt to equity ratio of.docx

MorganLudwig40

Flag this Question Question 1 1 pts A debt to equity ratio of 1.0 means that half of the company's assets are financed by creditors. Flag this Question Question 2 1 pts The Sarbanes-Oxley Act requires a company to guarantee that its financial statements are 100 percent accurate. Flag this Question Question 3 1 pts The cost-benefit convention holds that the benefits to be gained from providing accounting information should be greater than the costs of providing it. Flag this Question Question 4 1 pts The investments category on the balance sheet normally includes investments that are intended to be held for a long period of time. Flag this Question Question 5 1 pts Investors and creditors use financial statements to evaluate a company's ability to pay dividends and interest. Flag this Question Question 6 1 pts Current assets divided by current liabilities is known as the Flag this Question Question 7 1 pts The normal operating cycle helps define which of the following balance sheet sections? Flag this Question Question 8 1 pts Which of the following is a measure of liquidity? Flag this Question Question 9 1 pts The user can depend on the accuracy of financial information when which of the following qualitative characteristics has been followed? Flag this Question Question 10 1 pts Relevance is comprised of all of the following except Flag this Question Question 11 1 pts ___________ is related to both the nature of an item and its size. Flag this Question Question 12 1 pts The lower-of-cost-or-market method of accounting for inventories follows the convention of Flag this Question Question 13 1 pts A practical decision to expense a $120 printer rather than record it as property, plant, and equipment and depreciate it probably is made on the basis of the convention of Flag this Question Question 14 1 pts The convention of consistency refers to consistent use of accounting principles Flag this Question Question 15 1 pts The profit margin equals Flag this Question Question 16 1 pts Skip to question text. Use this balance sheet and income statement to answer the following question. Use ending balances whenever average balances are required for computing ratios. National Textile Balance Sheet December 31, 20x5 Assets Liabilities Current assets $ 12,000 Current liabilities $ 8,000 Investments 2,000 Long-term liabilities 2,000 Property, plant, and equipment 16,000 Total liabilities $ 10,000 Intangible assets 10,000 Stockholders' Equity Common stock 30,000 Total liabilities and Total assets $40,000 stockholders' equity $40,000 National Textile Income Statement For the Year Ended December 31, 20x5 Net sales $48,000 Cost of goods sold 16,000 Gross margin $32,000 Operating expenses 22,400 Net income $ 9,600 The current ratio for National Textile is Flag this Question Question 17 1 pts Skip to question text. Use this balance sheet and in.

In.docx

migdalialyle

Income Statement Balance Sheet Next Year This Year Next Year Revenue $5,000 Total assets $1,000 $2,000 Operating expenses 4,000 Liabilities & equity: EBIT 1,000 Current liabilities $ 576 $ 200 Interest (8%) ? Long-term debt 100 ? EBT ? Equity 324 ? Taxes(40%) ? Earnings after tax ? Total liabilities & equity $1,000 $2,000 The firm pays 8% interest on all of its debt and is subject to a 40% tax rate. Complete the plan. 1. Emperor Corporation's financial statements for the last year are shown below. The firm paid a $1,000 dividend to its stockholders during the year. There were no sales of new stock. Balance Sheets ASSETS Ending Beginning Income Statement Cash $ 2,000 $ 1,600 Sales $100,000 Accounts receivable 12,000 5,200 COGS 80,000 Inventory 14,000 15,600 Gross Margin $ 20,000 Current Assets $28,000 $22,400 Cash Expenses $ 8,000 Gross Fixed assets $27,000 $20,000 Depreciation 1,600 Accumulated depreciation (16,000 ) (14,400 ) EBIT $ 10,400 Net fixed assets 11,000 5,600 Interest 800 Total assets $39,000 $28,000 EBT $ 9,600 LIABILITIES Tax 2,600 Accounts payable $ 3,000 $ 2,500 Net Income $ 7,000 Accruals 1,000 1,500 Current Liabilities $ 4,000 $ 4,000 Long term Debt 10,000 5,000 Equity 25,000 19,000 Total liabilities & equity $39,000 $28,000 Develop Emperor's Statement of Cash Flows. .

Question 11 ptsA debt to equity ratio of 1.0 means that half.docx

JUST36

Question 1 1 pts A debt to equity ratio of 1.0 means that half of the company's assets are financed by creditors. Flag this Question Question 2 1 pts The Sarbanes-Oxley Act requires a company to guarantee that its financial statements are 100 percent accurate. Flag this Question Question 3 1 pts The cost-benefit convention holds that the benefits to be gained from providing accounting information should be greater than the costs of providing it. Flag this Question Question 4 1 pts The investments category on the balance sheet normally includes investments that are intended to be held for a long period of time. Flag this Question Question 5 1 pts Investors and creditors use financial statements to evaluate a company's ability to pay dividends and interest. Flag this Question Question 6 1 pts Current assets divided by current liabilities is known as the Flag this Question Question 7 1 pts The normal operating cycle helps define which of the following balance sheet sections? Flag this Question Question 8 1 pts Which of the following is a measure of liquidity? Flag this Question Question 9 1 pts The user can depend on the accuracy of financial information when which of the following qualitative characteristics has been followed? Flag this Question Question 10 1 pts Relevance is comprised of all of the following except Flag this Question Question 11 1 pts ___________ is related to both the nature of an item and its size. Flag this Question Question 12 1 pts The lower-of-cost-or-market method of accounting for inventories follows the convention of Flag this Question Question 13 1 pts A practical decision to expense a $120 printer rather than record it as property, plant, and equipment and depreciate it probably is made on the basis of the convention of Flag this Question Question 14 1 pts The convention of consistency refers to consistent use of accounting principles Flag this Question Question 15 1 pts The profit margin equals Flag this Question Question 16 1 pts Skip to question text. Use this balance sheet and income statement to answer the following question. Use ending balances whenever average balances are required for computing ratios. National Textile Balance Sheet December 31, 20x5 Assets Liabilities Current assets $ 12,000 Current liabilities $ 8,000 Investments 2,000 Long-term liabilities 2,000 Property, plant, and equipment 16,000 Total liabilities $ 10,000 Intangible assets 10,000 Stockholders' Equity Common stock 30,000 Total liabilities and Total assets $40,000 stockholders' equity $40,000 National Textile Income Statement For the Year Ended December 31, 20x5 Net sales $48,000 Cost of goods sold 16,000 Gross margin $32,000 Operating expenses 22,400 Net income $ 9,600 The current ratio for National Textile is Flag this Question Question 17 1 pts Skip to question text. Use this balance sheet and income statement to a ...

Question 1Given the financial statements below for Firefly Enterpr.pdf

alamshoes001

Question 1 Given the financial statements below for Firefly Enterprises, what is the external financing need for a pro forma increase in sales of 16%? Enter your answer as the nearest whole (e.g., 123), but do not include the $ sign. Firefly Enterprises Income Statement ($ Million) 2011 Sales 740 Cost of Goods Sold 452 Selling, General, & Admin Exp. 124 Depreciation 40 Earnings Before Interest & Taxes 124 Interest Expense 24 Taxable Income 100 Taxes at 40% 40 Net Income 60 Dividends 18 Addition to Retained Earnings 42 Balance Sheets as of 12-31 Assets 2010 2011 Cash 20 20 Account Receivable 102 110 Inventory 76 80 Total Current Assets 198 210 Net Fixed Assets 352 410 Total Assets 550 620 Liabilities and Owners Equity 2010 2011 Accounts Payable 62 70 Notes Payable 0 0 Total Current Liabilities 62 70 Long-Term Debt 280 300 Common Stock 34 34 Retained Earnings 174 216 Total Liab. and Owners Equity 550 620 Firefly Enterprises Income Statement ($ Million) 2011 Sales 740 Cost of Goods Sold 452 Selling, General, & Admin Exp. 124 Depreciation 40 Earnings Before Interest & Taxes 124 Interest Expense 24 Taxable Income 100 Taxes at 40% 40 Net Income 60 Dividends 18 Addition to Retained Earnings 42 Balance Sheets as of 12-31 Assets 2010 2011 Cash 20 20 Account Receivable 102 110 Inventory 76 80 Total Current Assets 198 210 Net Fixed Assets 352 410 Total Assets 550 620 Liabilities and Owners Equity 2010 2011 Accounts Payable 62 70 Notes Payable 0 0 Total Current Liabilities 62 70 Long-Term Debt 280 300 Common Stock 34 34 Retained Earnings 174 216 Total Liab. and Owners Equity 550 620 Solution Sales 858.40 Cost of goods sold 524.32 Selling, General, & Admin Exp. 143.84 Depreciation 40 EBIT 294.08 Interest expense 24 Taxable income 270.08 Taxes at 40% 108.032 Net income 162.048 Dividends 18 Addition to retained earnings 144.048 External finance required = total assets – liabilities- owners equity Assets Cash 23.2 Account receivable 118.32 Inventory 88.16 Total current assets 229.68 Net fixed assets 352 Total assets 581.68 Liabilities and owners equity Account payable 71.92 Notes payable 0 Total current liabilities 71.92 Long term debt 280 Common stock 34 Retained earnings 144.048 External finance required =581.68 – 529.968 =51.712 Assumption Sales 858.40 Cost of goods sold 524.32 Selling, General, & Admin Exp. 143.84 Depreciation 40 EBIT 294.08 Interest expense 24 Taxable income 270.08 Taxes at 40% 108.032 Net income 162.048 Dividends 18 Addition to retained earnings 144.048 External finance required = total assets – liabilities- owners equity Assets Cash 23.2 Account receivable 118.32 Inventory 88.16 Total current assets 229.68 Net fixed assets 352 Total assets 581.68 Liabilities and owners equity Account payable 71.92 Notes payable 0 Total current liabilities 71.92 Long term debt 280 Common stock 34 Retained earnings 144.048 External finance required =581.68 – 529.968 =51.712.

chapter 1.ppt

EnJoe1

This document discusses various types of financial statements and tools for analyzing them. It describes classified, comparative, and consolidated financial statements and how they are designed for analysis. It also outlines tools such as dollar and percentage changes, trend percentages, component percentages, ratios, and analysis of quality of earnings, assets, and debt levels that can be used to evaluate financial performance.

Financial accounting project (cat) (2)

Amr Sherif

The document analyzes Caterpillar Inc.'s balance sheets from 2010 to 2014 and assets from 2010 to 2011. It shows that cash dropped 15% from 2010 to 2011 while accounts receivable increased 7%, and inventories increased over 50%. Refundable income taxes also increased dramatically by 70%. Although property, plant and equipment increased 15%, its share of total assets dropped from 20% to 18%. The analysis evaluates changes in the company's financial position over time.

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