For DePaul Inc. what is the return for year 2. Round to no decimal points and use the % symbol (27%...not 27.12%) Risk return exercise : D2L Assessment #7 DePaul, Inc. You are searching for a stock to add to your current stock portfolio. You are interested in DePaul, Inc. You realize that any time you consider a technology stock, it involves elevated risk. The rule you follow is to include only stocks with a coefficient of variation of returns below 1.02. You have obtained the following price information and dividend information: Year Starting Price Ending price Quarterly Dividend 1 $40.00 $42.00 $47.40 $0.50 $42.00 $0.75 3 $47.40 $43.40 $1.00 4 $43.40 $53.40 $1.25 Calculate the annual rate of return for each year, 1 through 4, for DePaul stock Assume that each year's return is equally probable and calculate the average return over this time period. Calculate the standard deviation of returns over the 4 years. d. Based on b and c determine the coefficient of variation of returns for the security. a. b. С. е. Does an investment in this stock fall within the parameters of your investment policy?

For DePaul Inc. what is the return for year 2. Round to no decimal points and use the % symbol (27%...not 27.12%) Risk return exercise : D2L Assessment #7 DePaul, Inc. You are searching for a stock to add to your current stock portfolio. You are interested in DePaul, Inc. You realize that any time you consider a technology stock, it involves elevated risk. The rule you follow is to include only stocks with a coefficient of variation of returns below 1.02. You have obtained the following price information and dividend information: Year Starting Price Ending price Quarterly Dividend 1 $40.00 $42.00 $47.40 $0.50 $42.00 $0.75 3 $47.40 $43.40 $1.00 4 $43.40 $53.40 $1.25 Calculate the annual rate of return for each year, 1 through 4, for DePaul stock Assume that each year's return is equally probable and calculate the average return over this time period. Calculate the standard deviation of returns over the 4 years. d. Based on b and c determine the coefficient of variation of returns for the security. a. b. С. е. Does an investment in this stock fall within the parameters of your investment policy?

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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If Roten Rooters, Inc., has an equity multiplier of 1.95, total asset turnover of 2.6, and a profit margin of 4.3 percent, what is its ROE? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. (Round your percentage answer to 2 decimal places (i.e. 0.1234 should be entered as 12.34).)
f Roten Rooters, Inc., has an equity multiplier of 1.05, total asset turnover of 2.31, and a profit margin of 3.2 percent, what is its ROE? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Using these data from the comparative balance sheet of Ivanhoe Company, perform horizontal analysis. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000), (20%). Round percentages to 0 decimal places, e.g. 12%.) Increase or (Decrease) Dec. 31, 2022 Dec. 31, 2021 Amount Percentage Accounts receivable $ 487,200 $ 420,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal places. % Inventory $ 804,000 $ 670,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal points. % Total assets $3,237,600 $2,840,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal points. %
Using these data from the comparative balance sheet of Cullumber Company, perform horizontal analysis. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000), (20%). Round percentages to 0 decimal places, e.g. 12%.) Increase or (Decrease) Dec. 31, 2022 Dec. 31, 2021 Amount Percentage Accounts receivable $ 608,400 $ 520,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal places. % Inventory $ 931,700 $ 770,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal points. % Total assets $3,381,000 $2,940,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal points. %
Your answer is partially correct. Try again. Using these data from the comparative balance sheet of Cullumber Company, perform horizontal analysis. (If amount and percentage are a decrease show the numbers as negative, e.g. -55,000, -20% or (55,000), (20%). Round percentages to 0 decimal places, e.g. 12%.) Increase or (Decrease) Dec. 31, 2022 Dec. 31, 2021 Amount Percentage Accounts receivable $ 608,400 $ 520,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal places. % Inventory $ 931,700 $ 770,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal points. % Total assets $3,381,000 $2,940,000 $Enter increase or decrease amount in dollars. Enter increase or decrease in percentages rounded to 0 decimal points. %
Please Help! I am struggling so much with this chapter. Instructions: Determine the following measures for 20Y2, rounding to one decimal place including percentages, except for per-share amounts. May I have help with the sub-parts below please (4-18)? 4. Accounts Receivable Turnover 5. Number of days' sales in receivables 6. Inventory Turnover 7. Number of days' sales in inventory 8. Ratio of fixed assets to long-term liabilities 9. Ratio of liabilities to stockholder's equity 10. Times interest earned 11. Asset Turnover 12. Return on Total Assets 13. Return on Stockholder's Equity 14. Return on Common Stock 15. Earnings per share on Common Stock 16. Price-earnings ratio 17. Dividends per share of Common Stock 18. Dividend Yield
Please Help! I am struggling so much with this chapter. Instructions: Determine the following measures for 20Y2, rounding to one decimal place including percentages, except for per-share amounts. 1. Working Capital 2. Current Ratio 3. Quick Ratio 4. Accounts Receivable Turnover 5. Number of days' sales in receivables 6. Inventory Turnover 7. Number of days' sales in inventory 8. Ratio of fixed assets to long-term liabilities 9. Ratio of liabilities to stockholder's equity 10. Times interest earned 11. Asset Turnover 12. Return on Total Assets 13. Return on Stockholder's Equity 14. Return on Common Stock 15. Earnings per share on Common Stock 16. Price-earnings ratio 17. Dividends per share of Common Stock 18. Dividend Yield
Calculate the arithmetic average of the following returns. Year Return1 0.12 20.16 3 0.24 4 0.13 50.02 Enter the answer with 4 decimals, e.g. 0.1234.
Borland, Inc., has a profit margin of 6.5 percent on sales of $22,600,000. Assume the firm has debt of $8,700,000 and total assets of $15,300,000. What is the firm’s ROA? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Merryweather Corporation reported net income of $150,000, income before taxes of$240,000 and interest expense of $32,000. What is the times-interest-earned ratio? (Roundyour final answer to two decimal places.)a. 4.69b. 5.69c. 7.50d. 8.50
Loreto Inc. has the following financial ratios: asset turnover = 2.00; net profit margin (i.e., net income/sales) = 4%; payout ratio = 35%; equity/assets = 0.30. a. What is Loreto's sustainable growth rate? b. What is its internal growth rate? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

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