• c12. ABC bank has assets of 180 million and a a net income after taxes of $4 million; and bank capital of $14 million. • b. What is the bank's debt-to-equity ratio? Debt-to-Equity Ratio = Total Liabilities/ Equity Table 12.1 Capital = Assets - Liabilities so Liabilities = Assets - Capital
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- Q1. The following data pertain assets and liabilities for Sohar Bank as of December, 31,2019 (in thousands) Cash OR 10,000 Deposits OR 74,000 Securities OR 25,000 Other liabilities OR 19,000 Total loans OR 80,000 Losses OR 1,250 Other real estate owned OR 500 Owners’ equity OR 7,000 Other assets OR 10,750 Other data related to revenues and expenses Interest and fees on loans OR 9,100, Interest on securitiesOR 2,340, Other interest income OR 260 , Service chargesOR 520 Other non-interest income OR 780 , Interest on depositsOR 5,200 , Other interest expense OR 2,600 , Salaries and benefits OR 1,300 Provision for loan losses OR 390 , Other non-interest expense OR 2,210, Required : Prepare a balance sheet and income statement for the bank as of December, 31, 2019. (Income tax rate 20%)PLS HELP ASAP The balance sheet of Sunrise Company shows that capital P360,000 is equal to ⅓ of its total assets. How much is total liabilities? a. P480,000 b. P720,000 c. P1,080,000 d. P120,000Comparative statement of financial position of Alpha Sdn Bhd as at 31 December 2023 and 2022 are as following: 2023 2022 RM million RM million Cash at bank 108.5 50.4 Accounts receivable (less: provision for doubtful debts) 393.0 219.0 Inventories 84.0 134.4 585.5 403.8 Plant and equipment (NBV) 475.6 364.8 Investment in government securities 33.6 33.6 509.2 398.4 Total assets 1,094.7 802.2 Ordinary shares 530.0 290.0 180 million 10% Preference shares 180.0 180.0 Retained earnings 105.0 73.5 815.0 543.5 Accounts payable 205.9 197.8 Tax payable 15.0 10.0 Deferred taxation 37.8 50.9 10% Debentures 21.0…
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- 1. Study the following items related to transactions during the year to September 30,2020 for Thompson’s Tours’ Inc. All transactions are reported on the financialstatements in $XCD. I. A bank overdraft of $200,000 in a chequing account at St Kitts National Bank. II. A saving account with a balance of $400,000 at Open Campus Bank andchequing account with an overdraft of $100,000 at the same bank repayable ondemand. III. The Operation Manager was given a salary advance of $2,000 on August 24, 2020 and this amount was deducted from his October salary. IV. CAD$3,045 on hand from tips up to March 31, 2020, its pre-COVID operationswhen the exchange rate was CAD$1 = $2.01 XCD. On September 30, 2020, theexchange rate was CAD$1 = $1.95 XCDV. Special Edition Independence postage stamps on hand valued at $200.VI. Cash holdings of US$100,000, the exchange rate on September 30, 2020 is$2.70.VII. Petty cash on hand valued at $1,500.VIII. A cheque in the amount of $5,000 and dated October 23, 2020…C21-11 Researching GAAP Situation You are the new accountant for 12th National Bank and are preparing its 2019 statement of cash flows. The bank reports net income of $75,800 on its 2019 income statement. Included in this net income are the following items: $6,700 gain on sale of trading securities, $1,200 unrealized holding gain on trading securities, and $5,100 loss on sale of securities available for sale. Among its 2019 transactions, the bank sold trading securities with a carrying value of $22,900 for $29,600, and purchased trading securities for $65,200. The bank sold securities available for sale with a cost (and carrying value) of $58,700 for $53,600, and purchased securities available for sale for $39,400. It also made routine 90-day loans of $47,500 to customers and collected $20,000 principal on these customer loans. As a result of the preceding information, the bank’s trading securities account increased by $43,500, the securities available for sale account decreased by…The following information is for Rainbow National Bank: Report of Income $ Interest income 2,250.00 Interest expense 1,500.00 Total assets 45,000.00 Securities losses or gains 21.00 Earning assets 40,000.00 Total liabilities 38,000.00 Taxes paid 16.00 Shares of common stock outstanding 5,000 Noninterest income 800.00 Noninterest expense 900.00 Provision for loan losses 250.00 Please calculate: ROE --------- ROA --------- Net interest margin --------- Earnings per share --------- Net noninterest margin --------- Net operating margin --------- Alternative Scenarios: Suppose interest income, interest expenses, noninterest income, and noninterest expenses each increase by 3 percent while all other revenue and expense items shown in the preceding table remain unchanged. What will happen to Rainbow ROE,…
- Determine the effects of the following transactions on Current assets, Current liabilities, and Working Capital. Write “Inc” for an Increase, “Dec” for a Decrease, or “NE” if there is No Effect. Write your answers in the blanks provided. Current Asset Current Liability Net Working Capital 1. Sale of merchandise on account 2. Acquired shares of ABS CBN for cash 3. Pays the long-term debt of P150,000 4. Sells old machine for P10,000 cash 5. Issued shares of stock to cash investors 6. Declared cash dividends 7. Payment of advance rentals (asset method) 8. One year loan from a bank 9. Issued shares of stock to pay short term loan 10. Collection of receivables 11. Cash redemption of bonded debt 12. Six months interest received in advance(liability method is used) 13. Issued stock dividends 14. Payment of cash dividends declared in #6 15. Sell of equipment for P50,000;…Q.no 3. Below are the statements of Financial Position for HP Desk Corporation for 2019 and 2020. HP desk need to raise PKR 500,000 more capital. Should it go for Equity financing from stock market or loan agreement with a bank at a rate of 10%? Compare and Comment on the liquidity and gearing position of the company. Statement of Financial position for HP desk is given below for the period ending Dec 31 2020 (rounding of ‘000). Statement of Financial position for HP desk is given below for the period ending Dec 31 2019(rounding of ‘000).Question 2 please see the following financial information for Company A and B respectively. Company A Company B Total Assets 250 million 300 million Debt (10%) 50 million 180 million Equity 200 million 120 million Calculate ROE of Company A and Company B when ROA for both of them is12% and 6% respectively. Please show your workings.
