Fi 515

Saheed Olagunju Homework Wk2 FI515 Chapter 3-1 Days gross revenue enhancement Outstanding Greene Sisters has a DSO of 20 days. The callers average perfunctory gross gross revenue be $20,000. What is the aim of its accounts due? Assume there are 365 days in a year. Answer AR= 20x20000=400,000 3-2 Debt Ratio Vigo Vacations has an law multiplier factor of 2.5. The fraternitys additions are financed with some combination of recollective debt and joint equity. What is the companys debt ratio? Answer Equity multiplier addition /equity = 2.5/1 A=L+E 2.5=1.5=+1 Debt/ asset = 1.5/2.5 = .6 3-3 commercialize/ guard Ratio Winston Washerss rake equipment casualty is $75 per make out. Winston has $10 jillion in numerate as- sets. Its parallelism sheet shows $1 iodine thousand million in current liabilities, $3 one thousand million in long-term debt, and $6 billion in familiar equity. It has 800 million percents of common stock outstanding. What is Winstons market/ allow ratio? Answer grocery come in value per share =$75 commons equity= 6,000,000 Number of share outstanding =800,000,000 securities industry to bulk ration = $75/(6,000,000/800,000,000) 6,000,000/800,000,000=.75 Market to book ration= 75/.75= vitamin C 3-4 wrong/Earnings Ratio A company has an EPS of $1.50, a gold course per share of $3.00, and a scathe/cash operate ratio of 8.0. What is its P/E ratio?

Answer Price /cash flow ratio= price per share/ cash flow per share Price per share = $8 x $3 = $24 P.E = Price per share / EPS P.E = $24 / 1.5 = 16 3-5 potent roe Needham Pharmaceuticals has a benefit allowance of 3% and an equity multiplier of 2.0. Its sales are $ snow million and it has total assets of $50 million. What is roe Answer ROE= profit permissiveness x asset hoo-ha x equity multiplier =3% asset turnover = sales/asset = 50/100= 2 equity multiplier=2 ROE= 3% x2 x2= 12% 3-6 Du Pont Analysis Donaldson & Son has an ROA of 10%, a 2% profit margin, and a return on equity equal to 15%. What is the companys total assets turnover? What is the firms equity multiplier? Answer. ROA = loot sales x...If you want to realise a full essay, line of battle it on our website: Orderessay

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