During the past two years, both the cost per unit and the selling price per unit remained constant at The Floor Store. The firm was able to increase the quantity of goods it sells while holding the amount of inventory on hand at a constant level. This accomplishment will be reflected in the firm’s financial ratios in which one of the following ways?
Your bank will pay you an interest rate of .167 percent comp…
Your bank will pay you an interest rate of .167 percent compounded weekly. You want to have $29,000 in 7 years. How much will you have to deposit today? Assume 52 weeks per year.
A common-size income statement is an accounting statement th…
A common-size income statement is an accounting statement that expresses all of a firm’s expenses as a percentage of:
You are in talks to settle a potential lawsuit. The defendan…
You are in talks to settle a potential lawsuit. The defendant has offered to make annual payments of $24,000, $29,500, $58,000, and $87,000 to you each year over the next four years, respectively. All payments will be made at the end of the year. If the appropriate interest rate is 4.6 percent, what is the value of the settlement offer today?
Digital Movement has a return on assets of 9 percent and a d…
Digital Movement has a return on assets of 9 percent and a dividend payout ratio of 75 percent. What is the internal growth rate?
Which of the following actions could cause a company’s chang…
Which of the following actions could cause a company’s change in net working capital to be negative for a given year?
Ruiz Events has net income of $3,450 and total equity of $8,…
Ruiz Events has net income of $3,450 and total equity of $8,600. The debt-equity ratio is .60 and the payout ratio is 30 percent. What is the internal growth rate?
A company has a pension liability of $360,000,000 that it mu…
A company has a pension liability of $360,000,000 that it must pay in 21 years. If it can earn an annual interest rate of 3.2 percent, how much must it deposit today to fund this liability?
For a corporation that earned positive taxable income, which…
For a corporation that earned positive taxable income, which one of the following statements is correct?
Gupta Gourmet has a current market value of $26,400 and owes…
Gupta Gourmet has a current market value of $26,400 and owes its creditors $31,300. What is the market value of the shareholders’ equity?