A firm has a debt-total asset ratio of 61 percent and a return on total assets of 11.4 percent. What is the return on equity?
One year ago, the Jenkins Family Fun Center deposited $3,900…
One year ago, the Jenkins Family Fun Center deposited $3,900 into an investment account for the purpose of buying new equipment four years from today. Today, they are adding another $5,700 to this account. They plan on making a final deposit of $7,900 to the account next year. How much will be available when they are ready to buy the equipment, assuming they earn a rate of return of 8 percent?
The Tumbler has current liabilities of $350,000, a quick rat…
The Tumbler has current liabilities of $350,000, a quick ratio of 1.65, inventory turnover of 4.7, and a current ratio of 2.9. What is the cost of goods sold?
Blitz Corporation had total sales of $2,690,000 last year an…
Blitz Corporation had total sales of $2,690,000 last year and has 98,000 shares of stock outstanding. The benchmark PS is 1.44 times. What stock price would you consider appropriate?
If a firm equates its pro forma sales growth to the rate of…
If a firm equates its pro forma sales growth to the rate of sustainable growth, and has positive net income and excess capacity, then the:
Tellez Finance has current liabilities of $28,000, sales of…
Tellez Finance has current liabilities of $28,000, sales of $156,900, and cost of goods sold of $62,400. The current ratio is 1.22 and the quick ratio is .71. How many days, on average, does it take to sell the inventory?
A corporation issued bonds three years ago. Which one of the…
A corporation issued bonds three years ago. Which one of the following is most apt to be included in the bond’s indenture?
Travis International has a debt payment of $2.34 million tha…
Travis International has a debt payment of $2.34 million that it must make 6 years from today. The company does not want to come up with the entire amount at that time, so it plans to make equal monthly deposits into an account starting 1month from now to fund this liability. If the company can earn a return of 5.33 percent compounded monthly, how much must it deposit each month?
Galloway, Incorporated, just paid a dividend of $3 per share…
Galloway, Incorporated, just paid a dividend of $3 per share and has announced that it will increase its dividend by $1 per share for each of the next 4 years, and then never pay another dividend. What is the current per share value at a required return of 12.7 percent?
A call-protected bond is a bond that:
A call-protected bond is a bond that: