Professional Documents
Culture Documents
Wal-Marts return on equity has improved in the last three years, which is a
good sign for the shareholders of the company. It was 19.9% in January 2008,
which increased to 20.3 % in 2009 and then again marginally increased to 20.4
% in 2010. The return on asset has also shown the same trends in the last three
years. In 2008 the return on asset was 7.9 %. It increased to 8.1 % in 2009 and
then further increased to 8.4 % in 2010.
What is the value of the shareholders' equity account for this firm?
How much is net working capital?
a. What is the company's net income for 2015? (Do not round intermediate
calculations. A negative answer should be indicated by a minus sign.)
Net income $
Sankey, Inc., has current assets of $4,500, net fixed assets of $23,500, current
liabilities of $2,750, and long-term debt of $12,900. (Do not round intermediate
calculations.)
What is the value of the shareholders' equity account for this firm?
Shareholders' equity $
Suppose the company paid out $39,000 in cash dividends. What is the addition
to retained earnings?
8. Please use excel sheet in case the values changes
During the year, the Senbet Discount Tire Company had gross sales of $1.12
million. The firms cost of goods sold and selling expenses were $531,000 and
$221,000, respectively. The firm also had notes payable of $860,000. These
notes carried an interest rate of 6 percent. Depreciation was $136,000. The
firms tax rate was 40 percent.
a. What was the firms net income? (Do not round intermediate
calculations. Enter your answer in dollars, not millions of dollars, e.g.,
1,234,567. Round your answer to the nearest whole number, e.g., 32.)
b. What was the firms operating cash flow? (Do not round intermediate
calculations. Enter your answer in dollars, not millions of dollars, e.g.,
1,234,567. Round your answer to the nearest whole number, e.g., 32.)
Use the following information for Ingersoll, Inc., (assume the tax rate is 35
percent):
a. Prepare an income statement for this company for 2014 and 2015.
b. Prepare the balance sheet for this company for 2014 and 2015.
Al's Sport Store has sales of $3,020, costs of goods sold of $2,020, inventory of
$523, and accounts receivable of $448. How many days, on average, does it
take the firm to sell its inventory assuming that all sales are on credit?
12. Which statement expresses all accounts as a percentage of total assets?
14. The total asset turnover ratio measures the amount of:
15. A firm has a debt-equity ratio of .44. What is the total debt ratio?
A firm has total debt of $1,340 and a debt-equity ratio of .27. What is the value
of the total assets?
A firm has a total debt ratio of .47. This means the firm has 47 cents in debt for
every:
18. Which one of the following sets of ratios would generally be of the most
interest to stockholders?
19. Ratios that measure how efficiently a firm's management uses its assets
and equity to generate bottom line net income are known as _______ ratios.
Ratios that measure a firm's ability to pay its bills over the short run without
undue stress
are known as:
The Purple Martin has annual sales of $4,600, total debt of $1,220, total equity
of $2,300, and a profit margin of 6 percent. What is the return on assets?
25. The financial ratio measured as net income divided by sales is known as
the firm's:
26. The financial ratio that measures the accounting profit per dollar of book
equity is referred to as the:
27. Puffy's Pastries generates five cents of net income for every $1 in equity.
Thus, Puffy's has _______ of 5 percent.
28. If stockholders want to know how much profit the firm is making on
their entire investment in that firm, the stockholders should refer to the:
.