If Karp had used FIFO instead of LIFO, its debt to equity ratio computed as of31 December 2009 would have:A. increased.B. decreased.C. remained unchanged.
Q: Refer to Exhibit 4.1. What is the firm's total debt to total capital ratio? Do not round your…
A: Introduction: Total debt to total capital ratio formula is,
Q: ompute Costco’s current ratio and quick ratio for 2006 and 2005. (Round answers two decimal places.)…
A: Lets understand the basics. Current ratio indicates firm's ability to pay its current liabilities…
Q: Based upon the information given below, calculate the following: Current ratio…
A: We will only answer the first three subparts. For remaining subparts please submit the questions…
Q: When Total Debt/ Total Sources Ratio is 70%,what is Equity / Total Debt Ratio? a)30 % b)233 %…
A: Introduction: The total equity to total debt ratio is a measure of the company's financial health.…
Q: Presented below are selected financial data from the Medtronic 2018 annual report. Using the ratio…
A: Ratio analysis is the technique used to analyze the financial health of the company. Different…
Q: Andyco, Inc., has the following balance sheet and an equity market-to-book ratio of 1.5. Assuming…
A: For calculation of WACC, we need to use market value of debt and equity. Weight can be calculated…
Q: Andyco, Inc., has the following balance sheet and an equity market-to-book ratio of 1.4. Assuming…
A: Market value of equity = Market to book ratio * Book value of equity = 1.4*570 =798
Q: While computing the cost of equity using the formula , rs=D1P0+g, we do not make any adjustment to…
A: While computing the cost of debt, a tax adjustment is required because interest cost on debt is 'TAX…
Q: Queen, Inc., has a total debt ratio of .22. a. What is its debt-equity ratio? b. What…
A: Information Provided: Total debt ratio = 0.22
Q: Working capital Current ratio Quick ratio
A: "As per bartleby guidelines we will solve the first three question for you. If you want any specific…
Q: Determine the following measures for 20Y2, rounding to one decimal place including percentages,…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: Consider the following worksheet with information extracted from a financial statement: 2020…
A: The debt-to-asset ratio, is a leveraging ratio that shows how much of an asset's value is financed…
Q: Pickler Company has a debt-equity ratio of 1.39. Return on assets is 7.64 percent, and total equity…
A: Given the following information: Debt equity ratio: 1.39 Return on assets: 7.64% Total equity:…
Q: Must Tee Shirt Company pays income taxes and finances partially with debt. It recently calculated…
A: The weighted average cost of capital indicates the financial position of a company. It measures the…
Q: If Karp had used FIFO instead of LIFO, which of the following ratios computed as of31 December 2009…
A: according to FIFO METHOD
Q: Andyco, Inc., has the following balance sheet and an equity market-to-book ratio of 1.6. Assuming…
A: Given: Market to book ratio = 1.6 Market value of debt = $400 Book value of equity = $640 Market to…
Q: Vee-Jay Company (Pty) Ltd Extracted the following Ratios from its books for the year 2020 together…
A: Ratio analysis is very important technique of management accounting, in which various calculations…
Q: Calculate the WACC using the following information: Debt-Equity ratio is 50%. Cost of debt is 8.00%…
A: Given: Debt Equity ratio = 50% Cost of debt = 8% Cost of equity = 10% Tax rate = 35%…
Q: A firm has a debt-to-equity ratio of 0.84 and a market-to-book ratio of 3.0. What is the ratio of…
A: given information debt to equity ratio = 0.84 market to book ratio = 3.0
Q: Rapterzz Inc. has a profit margin of 8.30%, total asset turnover of 2.00, and ROE of 18.24%. What is…
A: Formula: Equity multiplier = 1 + Debt equity ratio Debt equity ratio = Equity multiplier - 1
Q: Pritchett Co. reported the following year-end data: Cash Short-tere investments Accounts recefvable…
A: Acid Test Ratio = ( Cash + Short Term investment + Current Receivables ) / Current Liabilities
Q: What was Marble Comics' total debt ratio in 2015?
A: Total-Debt Ratio is used to determine leverage of an entity. It shows proportion of assets financed…
Q: Austin's Cookies has a return on assets of 7.8 percent and a cost of equity of 11.9 percent. What is…
A: Weighted Average Cost of Capital (WACC) is the overall cost of capital from all the sources of…
Q: Y3K, Inc., has sales of $3,300, total assets of $1,520, and a debt-equity ratio of 1.35. If its…
A: Sales = 3300 Total Assets = 1520 Debt Equity Ratio = 1.35 Return on Equity = 14% Net Income = ?…
Q: Bello, Inc., has a total debt ratio of .87. a. What is its debt-equity ratio? (Do not round…
A: Debt ratio =(Total debt)/(Total assets)
Q: What is the comparison (analysis) of the Equity Multiplier of Industry Average Ratio and the Company…
A: There are various methods that the company used in order to measures the risk one of them is the…
Q: What is the firm's total debt ratio for 2011 using the above financial statements ?
A: In financial management, total debt ratio is used by financial institutions while providing debt…
Q: Andyco, Inc., has the following balance sheet and an equity market-to-book ratio of 1.5. Assuming…
A: Equity market value = $600 *1.50 = 900 Debt = $400 Total = $1300
Q: Bello, Inc., has a total debt ratio of .51. a. What is its debt-equity ratto? (Do not round…
A: Debt is a borrowed portion and equity is the own funds, these two consist of the firm’s capital…
Q: /hich of the following statements is the most reasonable conclusion from the given information below…
A: The debt ratio is the total debt being used as compared to total assets and it is indicative of the…
Q: RATIO ANALYSIS The Corrigan Corporation's 2017 and 2018 financialstatements follow, along with some…
A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Assuming Target’s industry had an average current ratio of 1.0 and an average debtto equity ratio of…
A: Current ratio of the company means ratio of current assets with current liabilities. It means how…
Q: The following information is for Tulip Company. 2016(in…
A: The Financial ratio is mainly used by the investor for measuring the financial performance of the…
Q: What is the comparison (analysis) of the Total Debt Ratio of Industry Average Ratio and the Company…
A: in this problem we have to calculate average debt ratio of both industry and that of company.
Q: Given the following ratios for four companies, whichcompany is least likely to experience problems…
A: INTRODUCTION Current ratio is liquidity ratio which shows company’s ability to pay off its current…
Q: Definitional problems: Listed are 11 terms that relate to ratio analysis:1. Book value per…
A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…
Q: Based upon the information given below, calculate the following: Current ratio…
A: As posted multiple sub parts we are answering only three sub parts kindly repost the unanswered…
Q: Referring to the data for Anson Industries and Clarence Corporation in Example 14 ,which of the…
A: Return on equity or ROE is defined as the measure of the financial performance of the company, which…
Q: Queen, Inc., has a total debt ratio of .46. a. What is its debt-equity ratio? (Do not round…
A: Assume that the total assets of Q Inc., are $100 million. Hence, calculate the value of total debt…
Q: RATIO ANALYSIS The Corrigan Corporation's 2014 and 2015 financial statements follow, along with some…
A: SOLUTION- FORMULAS- 1- CURRENT RATIO = CURRENT ASSETS / CURRENT LIABILITIES. 2-INVENTORY TURN OVER =…
Q: Triano Train Transports shows the following on their most recent balance sheet: Current Assets:…
A: Ratio is a tool which is used to measure the firm’s performance and growth by establishing relation…
Q: Calculate the WACC using the following informatio: Debt-Equity ratio is 50%. Cost of debt is 8.00%…
A: Given:Debt equity ratio=50%Cost of debt=8%Cost of equity=10%Tax rate=35%
If Karp had used FIFO instead of LIFO, its debt to equity ratio computed as of
31 December 2009 would have:
A. increased.
B. decreased.
C. remained unchanged.
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- If Karp had used FIFO instead of LIFO, which of the following ratios computed as of31 December 2009 would most likely have been lower?A. cash ratioB. current ratioC. gross profit marginWhen analyzing a companys debt to equity ratio, lithe ratio has a value that is greater than one, then the company has: a. equal amounts of debt and equity. c. less debt than equity. b. more debt than equity. d. none of these.Following are the financial statements of AB Ltd. for 2010. From the aforementioned table, calculate the following: 1. Current ratio 2. Liquid ratio 3. Receivables turnover ratio and collection period 4. Inventory turnover and holding period 5. Fixed assets turnover 6. Total assets turnover 7. Debt ratio 8. D/E ratio 9. Interest coverage ratio 10. PAT margin 11. ROA 12. ROE 13. EPS 14. D/P ratio 15. P/E ratio 16. Book value per share
- The Corrigan Corporation’s 2015 and 2016 financial statements follow,along with some industry average ratios.a. Assess Corrigan’s liquidity position, and determine how it compares with peers and how the liquidity position has changed over time.b. Assess Corrigan’s asset management position, and determine how it compares with peers and how its asset management efficiency has changed over time.c. Assess Corrigan’s debt management position, and determine how it compares with peers and how its debt management has changed over time.d. Assess Corrigan’s profitability ratios, and determine how they compare with peers and how its profitability position has changed over time.e. Assess Corrigan’s market value ratios, and determine how its valuation compares with peers and how it has changed over time.f. Calculate Corrigan’s ROE as well as the industry average ROE, using the DuPont equation. From this analysis, how does Corrigan’s financial position compare with the industry average numbers?g.…Using the data in exhibits C2.1 and C2.3, calculate and analyze the firm’s 2012 and 2013 ratios. Enter the ratios in the table below in the 2012 and 2013 columns, respectively: Ratio Type 2012 2013 Current (times) 3.40 3.43 Quick (times) 2.18 1.83 Debt (%) Times interest earned (times) Inventory turnover (times) Total asset turnover (times) Average collections period (days) Return on equity (%)a) Compute Costco’s current ratio and quick ratio for 2006 and 2005. (Round answers two decimal places.) 2006 current ratio =?2005 current ratio =?2006 quick ratio =?2005 quick ratio =? (b) Compute Target's times interest earned and its liabilities-to-equity ratios for 2006 and 2005. (Round your answers to two decimal places.) 2006 times interest earned =?2005 times interest earned =?2006 liabilities-to-equity =?2005 liabilities-to-equity =?Comment on any observed trends. Which of the following statements best describes any trend in Target's liabilities-to-equity ratios? Choose the right Option from below a)The decrease in Target's liabilities-to-equity ratio remained constant. b)Target's liabilities-to-equity ratio decreased slightly in 2006, we have no concerns about Target's's ability to meet its debt obligations. c)Target's liabilities-to-equity ratio increased during the year primarily due to a decrease in its equity. d)Target's liabilities-to-equity ratio decreased due to a…
- The following information is taken from the 2014 annual report to shareholders of Hewlett-Packard Year Ended 2014 2013 Accouts receivable, net $ 18,481 $ 16,537 Accounts receivable, gross $ 19,066 $ 17,166 Bad debt expense $ 156 $ 345 What is the Balance in HP's allownace for doubtful accounts at the end of the fiscal year? 2013? 2014?The comparative financial statements of Bettancort Inc. are as follows. The market price of Bettancort Inc. common stock was $71.25 on December 31, 2014. InstructionsDetermine the following measures for 2014, rounding to one decimal place:1. a.Working capital b. Current ratio c. Quick ratiod. Accounts receivable turnovere. Number of days' sales in receivablesf. Inventory turnoverg. Number of days' sales in inventoryh. Ratio of fixed assets to long-term liabilitiesi. Ratio of liabilities to stockholders’ equityj. Number of times interest charges are earnedk. Number of times preferred dividends are earned2. a. Ratio of net sales to assetsb. Rate earned on total assetsc. Rate earned on stockholders' equityd. Rate earned on common stockholders' equitye. Earnings per share on common stockf. Price-earnings ratiog. Dividends per share of common stockh. Dividend yieldThe following information is taken from the 2014 annual report to shareholders of Hewlett-Packard Year Ended 2014 2013 Accouts receivable, net $ 18,481 $ 16,537 Accounts receivable, gross $ 19,066 $ 17,166 Bad debt expense $ 156 $ 345 What is the Balance in HP's allownace for doubtful accounts at the end of the fiscal year? What was the amount of receivables written off during 2014? Compute the allowance as a percentage of gross receivables for: 2014, 2013
- Calculate the market to book ratio ,debt equity ratio and retained income for the year. do not use excel please. show your workingCircle Inc. had bad debt expense on its customer receivables as follows for 2016-2019, respectfully. Compute the trend percentages (whole number % changes, only) for these years assuming 2016 is the base year. 2016 $80,000 2017 $88,000 2018 $95,000 2019 $102,000Vee-Jay Company (Pty) Ltd Extracted the following Ratios from its books for the year 2020 together with the relevant industry averages RATIOS 2020 Industry average 1. Current Ratio 1,9 2 2. Acid test ratio 0,8 1 3. Inventory Turnover 4 times 6 times 4. Debtors’ collection period (days) 51 days 40 days 5. Creditors payment period (days) 61 days 50 days Required:1. For each of the above five ratios , answer the following :a) what does the ratio measureb) state whether there is an improvement or decline in the ratio in comparison with the industry average 2. Comment on the company’s overall liquidity position in comparison with industry.