X 5. Compute for the EquityRatio. *The following items have been extracted from ZBE Company'sbalance sheet.5,600,00016,100,00021,700,000Current assetsNon-current assetsTotal assetsTotal liabilities6,900,00014,800,000Total liabilities and equity21,700,000Stockholders' equity

The equity ratio is a financial ratio indicating the relative proportion of equity used to finance a…

5. Compute for the Equity ... Ratio. * The following items have been extracted from ZBE Company's balance sheet. Current assets 5,600,000 16,100,000 21,700,000 Non-current assets Total assets 6,900,000 14,800,000 Total liabilities and equity21,700,000 Total liabilities Stockholders' equity

5. Compute for the Equity ... Ratio. * The following items have been extracted from ZBE Company's balance sheet. Current assets 5,600,000 16,100,000 21,700,000 Non-current assets Total assets 6,900,000 14,800,000 Total liabilities and equity21,700,000 Total liabilities Stockholders' equity

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

See similar textbooks

Related questions

Q: Debt Ratio,Debt to equity Ratio. Busch company balance sheet shows total liabilities of $510,000…

A: Debt ratio = Total liabilities/ Total Assets Debt to Equity Ratio = Debt / Shareholders Equity

Q: The balance sheet for Alpha Corporation follows: Current assets Long-term assets (net) Total assets…

A: The company's financial leverage and risk can be evaluated using the debt-to-assets ratio and…

Q: XYZ Company reported the following information: Total Assets $500,000, Total Liabilities $200,000,…

A: Debt to equity ratio is the measure which is determined by the entity for the purpose of knowing the…

Q: A company’s balance sheet reveals it has total assets of $8,081,700, total liabilities of…

A: The debt-to-equity (D/E) ratio is a financial metric used to assess a company's leverage, or how…

Q: Burkhart Corporation has the following data as of December 31, 2024: Total Current Liabilities $…

A: Ratio Analysis - The ratio is the technique used by the prospective investor or an individual or…

Q: a) Current Ratio b) Quick Ratio c) Inventory to Working Capital

A: Formula 1. Current ratio= Current assets÷ Current liabilities 2. Quick Ratio= Quick asset ÷Current…

Q: Using the following balance sheet, calculate net working capital: Cash Marketable Securities…

A: Net Working Capital is the difference between the Current assets & Current Liabilties.Net…

Q: Dividends yield = .............................% b. Return on equity =…

A: Dividend Yield = (Dividend Per Share/Current Market price ) * 100 Return on equity = (Net Income/…

Q: Provide true calculation

A: Given:debt equity to ratio = 1.40ROA = 8.0%total equity = $1,000,000 Solution:- To calculate equity…

Q: Total assets Total liabilities Stockholders' equity Net income Debt to assets ratio Return on equity…

A: Debts to Assets ratio shows how potential is the company to repay debt with the available assets. =…

Q: Given the following data for the Novak Corp.: Current liabilities $560 Long-term debt 460 Common…

A: A common size balance sheet is a financial statement that displays both the numeric value and…

Q: Using the following balance sheet and income statement data, what is the debt to assets rati Current…

A: Formula: Debt to Assets ratio = Total liabilities / Total Assets

Q: $ $ Current assets Net income 38500 42000 Stockholders' Current liabilities 15400 78600 equity…

A: Earning per share is calculated as net income divided by average shares outstanding.

Q: Using the Du Pont Iden total asset turnover 0.8 O A. O B. O C. 20.40% OE 21.40% 22.40% OD. 23.40%…

A: We need to use Du pont equation below to calculate return on equity (ROE)Return on Equity(ROE) = Net…

Q: A firm has total debt of $1,850 and a debt-equity ratio of 0.64. What is the value of the total…

A: Debt to Equity ratio is a financial ratio which measures the relationship between the debt and…

Q: Splish Company provides you with the following condensed balance sheet information: Current assets…

A: Under U.S. GAAP, stock dividends can be categorized into the following types:-1. Small stock…

Q: Using the following balance sheet and income statement data, what is the total amount of working…

A: The ratio analysis helps to analyze the financial statements of the business with respect to assets…

Q: Using the following balance sheet and income statement data, what is the debt to assets ratio?…

A: Ratio analysis means where different ratio of various years of years companies has been compared and…

Q: Some selected financial statement items belonging to Tower Company are given in the table below.…

A: Return on Equity means income earned on total shareholders Equity amount. This is very important…

Q: Using the following balance sheet and income statement data, what is the current ratio? Current…

A: Current Ratio = Current Assets/ Current Liabilities

Q: Dusing eained a gross popie on Sales o $1:500,0000. Accounts Receivable inventory and plant assets…

A: g) Days in Operating Cycle : Days in Operating cycle = Inventory Period + Accounts Receivable…

Q: Ernst Company's balance sheet shows total liabilities of $32,500,000, total stockholders' equity of…

A: Ratio analysis is a tool used to measure and evaluate the financial condition and profitability of a…

Q: Total assets are $1,500,000 and stockholders’ equity is $900,000. What is the debtto-equity ratio?a.…

A: Formulas: Debt equity ratio = Debt / Equity ------------------------------ Debt = Total assets -…

Q: Given the following details, what is OXFORD Inc.'s debt ratio? Sales/Total assets Return on assets…

A: Return on assets is calculated by dividing net income by total assets. Return on equity is…

Q: The following information pertains to Sunland Company. Assume that all balance sheet mounts…

A: According to the question given, we need to compute the payout ratio.Financial ratio:Financial ratio…

Q: Debt-to-Total-Assets Ratio Ruby Company's balance sheet reports the following totals: Assets =…

A: The debt to asset ratio is used for measuring the asset which is financed by the debt rather than…

Q: The balance sheet for Vernon Corporation follows: Current assets Long-term assets (net) Total assets…

A: The current ratio is the measure that helps the entity to know the liquidity position of the entity.…

Q: Assume the following relationships for the Brown Corporation: Sales / Assets…

A: Computation of profit margin: Hence, the profit margin is 2.00%.

Q: The balance sheet for Shankland Corporation follows: 000 009 $ 000 '006 Current assets Long-term…

A: Working capital = current assets - current liabilities

Q: Conduct a vertical analysis from the Balance Sheet below and select the INCORERECT observation

A: Vertical Analysis is a technique through which various figures of assets and liabilities are…

Q: what is its current ratio

A: Thank you for posting questions. Since above the image it is mentioned to calculate the Current…

Q: Calculate the following ratios, follow the steps and must interpret your answers , Current ratio…

A: 1) Current Ratio = Current Assets / Current Liabilities

Q: Kindly analyze the following ratios: Debt-to-Equity Ratio Asset-to-Equity Ratio Asset-to-Liability…

A: Financial Ratios: The financial ratios are widely used tools to compare the financial performance of…

Q: From the following balance sheet of Sohel & Co Ltd as at 31st March 2013 and also comment on the…

A: Given:Balancesheet of Sohel&Co Ltd as on 31st March 2013.In order to determine the Return on…

Q: Please make solve part (d to f)

A: Ratio analysis can be defined as the comparative analytical tool which helps to determine the…

Question

X 5. Compute for the Equity
Ratio. *
The following items have been extracted from ZBE Company's
balance sheet.
5,600,000
16,100,000
21,700,000
Current assets
Non-current assets
Total assets
Total liabilities
6,900,000
14,800,000
Total liabilities and equity21,700,000
Stockholders' equity

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

The following information was drawn from the balance sheets of two companies. Company East Liabilities + 88,000 171,000 Equity 104,000 429,000 Assets 192,000 600,000 West Required a. Compute the debt-to-assets ratio to measure the level of financial risk of both companies. b. Compare the two ratios computed in requirement a to identify which company has the higher level of financial risk. Complete this question by entering your answers in the tabs below. Required A Required B Compute the debt-to-assets ratio to measure the level of financial risk of both companies. (Round your answers to 1 decimal place.) Debt to Assets Company Ratio East West %
From the following information compute the following ratios:d) Debt to Equity Ratioe) Proprietary Ratio
Some selected financial statement items belonging to MNO Company are given in the table below. According to this information, which of the following is Return on Equity (ROE)? Inventory 25000 Current Assets 50,000 30,000 80,000 12,240 68,000 Current Liabilities Non-current Assets Net Profit owner Equity
a. Return on equityb. Total assets turnoverc. Return on assetsd. Current ratioe. Receivables turnover
Assume the following data for Cable Corporation and Multi-Media Incorporated. Multi-Media Incorporated Cable Corporation $ 39,800 352,000 409,000 $ 190,000 2,170,000 966,000 234,000 545,000 175,000 421,000 Net income Sales Total assets Total debt Stockholders' equity a. 1. Compute return on stockholders' equity for both firms. Note: Input your answers as a percent rounded to 2 decimal places. Cable Corporation Multi-Media, Incorporated 2. Which firm has the higher return? Return on Stockholders' Equity % %
Expressed as a percentage, what would be a company's current ratio if net fixed assets are Ph1,230,000; current assets, P368,400; current liabilities, Ph120,00 and other liabilities, Ph65,000 a. 307% b. 450% c. 603% d. 860%
11.Please use the information on the statement of financial position as of January 1, 2018 of Rakdee Company Limited shown as follows to answer the question: Current assets Fixed assets Total assets 30,000,000Accounts payable 10,000,000Accrued liabilities Notes payable Long term Debt Common stock Retained earnings 40,000,000 Total liability and equity The income statement of Rakdee Co., Ltd. for the year 2018 is shown as follows: Sales 80,000,000 baht Net profit 20,000,000 baht 8,000,000 5,000,000 5,000,000 12,000,000 5,000,000 5,000,000 40,000,000 Dividend 10,000,000 baht It is expected that sales will increase in 2019 equal to 25%. Find the Capital Intensity ratio (A*/SO) as a percentage with 2 decimal places. Answer...............% Find the spontaneous liability ratio (L*/SO) as a percentage with 2 decimal places. Answer........... %
given the following data for the cheyenne company: current liabilities 602; long-term debt 630; common stock 858; retained earnings 1210; total liabilities & stockholders' equity 3300. how would common stock apprear on a common size balance sheet?
Stark Company's most recent balance sheet reported total assets of $1.74 million, total liabilities of $0.88 million, and total equity of $0.86 million. Its Debt to equity ratio is: Multiple Choice 0.51 0.49 0.98

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS