A company has current ratio 2:1. It's bank balance is 80000 debit and it's current liabilities are 200,000. It then issues 50,000 new ordinary shares of 1 each at a premium of 0.10 per share. What is the new current ratio
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- Davis Corporation expects the following transactions in 20X3. Their first year of operations: 21. Sales (90% collectible in 20X3) Bad debt write-offs... Disbursements of costs and expenses Disbursements for income taxes. Purchases of fixed assets... Proceeds from issuance of ordinary shares.... Proceeds from short-term borrowings Payments on short-term borrowings. Depreciation on fixed assets P1,500,000 60,000 1,200,000 90,000 400,000 580,000 100,000 50,000 80,000 What is the cash balance at December 31, 20X3? P150,000 b. P170,000 a. c. P210,000 d. P280,000Helmuth Inc's latest net income was $1,210,000, and it had 225,000 shares outstanding. The company wants to pay out 45% of its income. What dividend per share should it declare?Edelman engines has $18 million in total assets. It’s balance sheet shows $2 million in current liabilities $10 million in long term debt and $6 million in common equity. It has 300000 common shares outstanding and it’s stock price is $28.20 per share. What is edelmans market / book ratio
- Lear & Co has a PE of 17, a forward PE of 14.5, and a price of $67.40 per share. The company has 85.2 million shares outstanding. Net income for next year is projected to be closest to: O A. $396.0 million. O B. $832.7 million. O C. $337.8 million.In 2018, Caterpillar Inc. had about 710 million shares outstanding. Their book value was $38.0 per share, and the market price was $85.00 per share. The company's balance sheet shows that the company had $29.50 billion of long-term debt, which was currently selling near par value. a. What was Caterpillar's book debt-to-value ratio? (Do not round intermediate calculations. Enter your answer as a decimal rounded to 2 decimal places.) b. What was its market debt-to-value ratio? (Do not round intermediate calculations. Enter your answer as a decimal rounded to 2 decimal places.) c. Which measure should you use to calculate the company's cost of capital? a. Book debt-to-value ratio b. C. Markeet debt-to-value ratio MeasureA company has a current ratio of 2 : 1. Its bank balance is GH₵ 80,000 debit and its current liabilities are GH₵ 200,000. It then issues 50,000 new ordinary shares of GH₵ 1 each at a premium of GH₵ 0.10 per share. What is the new current ratio?
- b. Suria Motors Bhd. is an all-equity firm (i.e. no debt) with 200,000 shares outstanding. The company's EBIT is RM2,000,000, and EBIT is expected to remain constant over time (i.e. g = 0%). The company pays out all of its earnings each year as dividend, so its earnings per share (EPS) equal its dividends per share (DPS). The company's tax rate is 40 percent. The company is considering issuing RM2 million worth of bonds (at par) and using the proceeds for a stock repurchase. If issued, the bonds would have an estimated yield to maturity of 10 percent. The risk-free rate in the economy is 6.6 percent, and the market risk premium is 6 percent. The company's beta is currently 0.9, but its investment bankers estimate that the company's beta would rise to 1.1 if it proceeds with the recapitalization. Assume that the shares are repurchased at a price equal to the stock market price prior to the recapitalization.Chunky Cheese Pizza has $61.9 million in bonds payable. The bond indenture states that the debt to equity ratio cannot exceed 3.22. Chunky’s total assets are $201.9 million, and its liabilities other than the bonds payable are $91.9 million. The company is considering some additional financing through leasing. 1. Calculate total stockholders’ equity using the balance sheet equation. (Enter your answers in millions. (i.e., $5,500,000 should be entered as 5.5).) Stockholders’ Equity =A company reports the following: Total Assets $390,000 Total Liabilities 140,000 Total Stockholders' Equity 250,000 Calculate the debt ratio. (Round your answer to two decimal places.) O A. 44% O B. 78.57% O C. 35.9% O D. 64.1%
- Flimsy Safe Room’s, Inc. has total assets of $1,000,000. The firm has $100,000 in inventory. It has $300,000 in long-term debt and $400,000 in current assets. The common stockholders’ equity is $400,000. The firm does not have any preferred stock outstanding. What is Flimsy Safe Room's total debt ratio defined as total liabilities to total assets? Question 1 options: A) 0.6 = 60% B) 0.4 = 40% C) 0.5 = 50% D) 0.3 = 30%Rhea Company has P9,000 in cash, P11,000 in marketable securities, P26,000 in current receivables, P34,000 in inventories, and P40,000 in current liabilities. The Rhea's quick ratio is closest to * Choices: 1.35. 1.15. 1.73. 2.00.OMG Inc. has 4 million shares of common stock outstanding, 3 million shares of preferred stock outstanding, and 5,000 bonds. Suppose the common shares are selling for $15 per share, the preferred shares are selling for $24 per share, and the bonds are selling for 109 percent of par.What would be the weight used for equity in the computation of OMG’s WACC? (Round your answer to 2 decimal places.)
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