Count the average of these weights for all three years. Please note that you are to assign weights of 3, 2 and 1 to the financial ratios for FISCAL YEAR 2019, FISCAL YEAR 2018 and FISCAL YEAR 2017 and then compute the weighted average. Current Ratlo Particulars FY'19 L&T BHEL NBCC 1.3 1.59 1.08 Slemens 191 FY'18 FY'17 1.32 1.44 1.83 1.96 1.18 1.26 1.82 1.7 4
Q: A stock had returns of 14 percent, 13 percent, −10 percent, and 7 percent for the past four years.…
A: Range of stock refers to the stock price which defines the starting and ending price in a specified…
Q: You are working on creating a portfolio that mimics a fully diversified market index. Assume that…
A: Variables in the question:Investible amount=$1,000,000Investment in: Stock A=$195,000Stock…
Q: You need a 15-year, fixed - rate mortgage to buy a new home for $230,000. Your mortgage bank will…
A: A balloon payment is a significant, lump-sum amount due at the conclusion of a loan term, following…
Q: Calculate the modified duration of a 30-year mortgage with level annual payments of principal and…
A: Mortgage Term: 30 yearsAnnual Interest Rate (Coupon Rate): 9%Yield to Maturity (Market Interest…
Q: Suppose you want to retire in (choose 1: 10 - 20 - 30) years with enough saved to earn (choose 1:…
A: Retirement in: 20 years- Annual retirement income needed: $50,000- Retirement duration: 20 years-…
Q: For each of the following annuities, calculate the present value. (Do not round intermediate…
A: The present value of Annuities refers to a financial concept used to determine the current value of…
Q: The concept of time value of money is that* •The cash flows that occur earlier are more valuable…
A: The time value of money is the concept that money available today is worth more than the same amount…
Q: wants to have ordan wants to retire in 15 years when he turns enough money to replace 75% of his…
A: Years of retirement15 yearsInterest rate0.06Growth in salary0.04Current Salary$100,000Replacement…
Q: Break-Even in Sales Revenue, Changes in Variables Carmichael Corporation is in the process of…
A: The objective of the question is to calculate the break-even sales revenue for Carmichael…
Q: You know the following information about the Taylor National Bank: Provision for loan losses Income…
A: Net income refers to the amount that is earned from the business operating activities after…
Q: Platinum contracts are trading at $950. NYMEX defines the Platinum contract as 50 ounces/c, $/c,…
A: The cost of carry is usually the cost of holding the contract until its maturity. It is often…
Q: Agnes is 40 years old. She wants to know how much she should be saving each year for retirement.…
A: Future ValueFuture value refers to worth of the investment that is accumulated throughout the…
Q: WACC Kose, Inc., has a target debt- equity ratio of .65. Its WACC is 11.2 percent, and the tax rate…
A: The cost of debt and the cost of equity constitute the dual components of a firm's capital, employed…
Q: Jordan is 55 and wants to retire in 12 years. His family has a history of living well into their…
A: The future value (FV) is a financial concept that represents the value of a sum of money at a…
Q: Maturity Required: 9/26/2019 12/12/2019 8/13/2020 Days to Maturity Maturity Treasury Bills 9/26/2019…
A: Bid yield is the rate at which the dealer is willing to buy the Treasury billAsk yield is the rate…
Q: A proposed cost-saving device has an installed cost of $690,000. It is in Class 8 (CCA rate=20%) for…
A: Capital Cost Allowance (CCA) in Canada is a tax mechanism enabling businesses to gradually deduct…
Q: NPV and IRR The first two scenarios are independent. All cash flows are after-tax cash flows. The…
A: The objective of the question is to calculate the Net Present Value (NPV) for Patz Corporation's…
Q: For the cash flow revenues shown below, find the value of G that makes the equivalent annual worth…
A: The present value refers to the discounted value of the future cash flows. Discounting is done till…
Q: Shelley wants to cash in her winning lottery ticket. She can either receive twelve, $199,000…
A: Cash flow = $199000Rate = 6% annually= 3% semi-annualTime period= 12-1=11
Q: . What is the value of the put option? (
A:
Q: You have been asked to estimate the market value of an income-producing property. The table below…
A: Year 5 cash flow = NOI + Net proceeds from sale =$ 372892+$5000000…
Q: The present value represents the amount of money you would have to deposit today in order to match…
A: Present value is the current worth of a sum of money that is to be received or paid in the future,…
Q: A Treasury bond with 7 years to maturity is currently quoted at 109:15. The bond has a coupon rate…
A: The yield value is often associated with investments such as bonds. It represents the income…
Q: 13. Securities with less predictable prices and have longer maturity time is considered as _____. A.…
A: Securities refer to the capital market instruments that facilitate the flow of money in the market…
Q: You purchased an annuity that will make payments of $31,000 every 5 years for the next 10 years. If…
A: We need to use present value formula below to calculate annuity worth today.Annuity worth today =…
Q: The annual force of interest for an account at t years is given by St = t^2/ (4+1)^3. A deposit of…
A: - Force of interest at time : - Initial Deposit: - Final Account Balance: - Goal: Find the number of…
Q: Using the CAPM formula, make up numbers for the risk-free rate, beta and the MRP. Describe 3 ways to…
A: CAPM stands for Capital Asset Pricing Model, a widely used financial model that helps investors and…
Q: 2. Calculate the put premium according to put-call parity which gives no arbitrage opportunity.…
A: Put-Call Parity is a financial principle that establishes a relationship between the prices of…
Q: Plant Shutdown or Continue Operations, Qualitative Considerations, Traditional Analysis KarlAuto…
A: First Year:Materials: The cost of materials is $12,000 for both scenarios, as it represents the…
Q: State Probability 0.10 0.20 0.20 0.30 0.20 L23 45 1 Stock A 10% 13% 12% 14% 15% Stock B 8% 7% 6% 9%…
A: Efficient frontier:The efficient frontier is a concept in finance that refers to the set of…
Q: You've just found a 10 percent coupon bond on the market that sells for par value. What is the…
A: Face value $1000Asked quote 103.82%Bond value $1038.23Coupon Payment $19.25No. of periods 20Yield to…
Q: Q 1 -Nadec company is considering investment in one of two mutually exclusive projects, P and Q. The…
A: As per the Q&A guidelines, if multiple subparts are asked at once then the answer for the first…
Q: Tanaka Machine Shop is considering a four-year project to improve its production efficiency. Buying…
A: Net Present Value is the sum of the present value of all the cash inflows and outflows. A project…
Q: 10. Jordan is 55 and wants to retire in 12 years. His family has a history of living well into their…
A: Ordinary annuity is used in the calculation of the amount of saving needed to achieve the annual…
Q: Suppose that you expect to receive an inheritance of £10,000 in one year. You will want to put this…
A: A Forward Rate Agreement (FRA) is a financial derivative that enables parties to lock in a…
Q: The term structure of interest rates is flat at 5%. You want to immunize a $1,000 maturing in 5…
A: Duration of bond show volatility in bond prices to the changes in interest rate and duration of…
Q: higher or lower will the firm's expected EPS be if it uses some debt rather than only equity, i.e.,…
A: 1. Calculation of EPSU = EBIT - tax (25 percent) /no. Of shares outstanding EPSU = $810000 -…
Q: Finco Investment Corporation must determine an investment strategy for the firm during the next…
A: The objective of the question is to formulate a Linear Programming (LP) model that will help Finco…
Q: Compute the interest paid on a 2-year lease for a $26,654 car if the annual rate of depreciation is…
A: Depreciation is the financial accounting concept that represents the reduction of the asset value…
Q: Assume If I use only using Historical simulation approach for Value at Risk (VaR) What would be the…
A: Value at Risk (VaR) is a statistical metric that expresses the highest possible loss for an…
Q: A perpetuity pays 100 on July 1, 2014. Each payment is made on July 1. The amount of each payment is…
A:
Q: A builder is offering $131,554 loans for his properties at 9 percent for 25 years. Monthly payments…
A: LoanLoan is referred to the amount borrowed by an individual from a bank, for his personal or…
Q: Sloan Transmissions, Inc., has the following estimates for its new gear assembly project: price =…
A: Price = $2600 per unitVariable cost = $520 per unitFixed costs = $1.7 millionQuantity = 82,000 units
Q: You own a bond redeemable for $400 in 8 years. You just have received a coupon of amount c and each…
A: The coupon rate denotes the yearly percentage of a bond's face value that is disbursed to the…
Q: 13 Consider the following information on Stocks I Skipped eBook Print References State of Economy…
A: The objective of this question is to calculate the beta and standard deviation of two stocks given…
Q: llana Industries, Inc., needs a new lathe. It can buy a new high-speed lathe for $0.91 million. The…
A: Net present value is the difference between the present value of cash flows and the present value of…
Q: Yosemite Corporation has an outstanding debt of $10.03 million on which it pays a 5 percent fixed…
A: In an interest rate swap, a fixed rate interest payment is swapped for a floating rate payment…
Q: You plan to purchase a house for $166,000 using a 15-year mortgage obtained from your local bank.…
A: Discount points refer to the optional fees (extra charges) over the agreed stated interest rate on a…
Q: Maude worked as a Software Developer for Microsoft for 3 internships. She was just hired full- time…
A: Future Value (FV) is a financial concept that represents the value of an investment or sum of money…
Q: Problem 04: Investor Doe has $10,000 to invest in four projects. The following table gives the cash…
A:
Step by step
Solved in 3 steps with 2 images
- a) Based on the information provided, calculate the following ratios for the years ended 31December 2021 and 2020. You should give the formula for each ratio, in addition to your calculation.I. Gross profit marginII. Operating profit marginIII. Return on equityIV. Current ratioV. GearingBased on the financial statements provided, compute the following financial ratios. Show your workings and round your figures to 2 decimal places. Ratio 2020 2019 Current Ratio Quick Ratio Debt Ratio (%)Using available data in the case, calculate the requested financial ratios. Round all numbers to the nearest hundredth. For example, answers should look like -0.05 or 1.33. Use the following table to calculate Current Ratios for the years 2014, 2015, and 2016: Year 2014 2015 2016 Current Assets Current Liabilities 6,086 5,914 8,137 ROA ROE Current Ratio 2016 0.78 % % 8,532 8,516 10,397 2015 0.69 % % 2014 0.71 % %
- Calculate the following ratios for 2021 using working Excel formulas. Make sure to label each appropriately using the following cell (number of days, number of times, etc.) Round each answer to 2 decimal places (example: ROE of .1678 should display as 16.78%): Current Ratio Quick Ratio Debt to Equity Ratio Equity Multiplier Times Interest Earned Dividend Yield Inventory Turnover Days’ Sales in Inventory Receivables Turnover Days’ Sales in Receivables Total Asset Turnover Profit Margin Return on Assets Return on Equity P/E Ratio 2.Calculate Return on Equity (ROE) for 2021 using the DupontREQUIRED Use the information given below to calculate the following ratios for 2019. (Where applicable, round off answers to two decimal places.) Also provide a brief interpretation of each answer. The comparative figures for 2018 are given in brackets. 4.1 Gross margin (2018: 60.53%) (2018: 5.02 times) (2018: 1.05:1) (2018: 60.38%) (2018: 36.45%) (2018: 29.56 days) (2018: 108.42 cents) 4.2 4.3 4.4 4.5 4.6 4.7 Inventory turnover Acid test ratio Debt to equity Return on equity Debtors collection period Earnings per share INFORMATION FIAMMA LIMITED EXTRACT OF STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2019 Sales (all credit) Operating expenses Operating profit Company tax Note: 1. The goods were sold at cost plus 90%. 2. The tax rate of the company is 30%. R 1 668 200 (486 000) 308 000 (86 400)Calculate the following ratios for 2025 and 2026. (Round current ratio to 2 decimal places, e.g. 12.61, debts to assets and gross profit rate to 0 decimal places, e.g.12, and all other answers to 1 decimal place, e.g. 12.6%) Please show your work. 1. Current ratio 2. Debts to assets 3. Gross profit rate 4. Profit margin 5. Return on assets (Total assets at November 1, 2024, were $35,180) 6. Return on common stockholder's equity (Total common stockholders' equity at November 1, 2024, was $25, 180. Dividends on preferred stock were $16,800 in 2025 and $18,000 in 2026)
- For the return on equity (ROE) and return on assets (ROA) ratios, perform a DuPont decomposition andanalyze the components of the ratios in both years. Comment on which components of the ROE and ROAratios are driving the changes in the ratios you observe. Here is my ROE for years 2021 (1728.1 / 11,951.5= 14.5%) and 2020 (1066.8 / 9759.1= 11.3%) Here is my ROA for 2021 (1728.1 / 13,555) * 100 = 12.7488% and 2020 (1066.8 / 11,168.9) * 100 = 9.5515%Using Financial Statements for 2020, current ratio for the year 2020 is 1.62.You have been presented with the following selected information from the financial statements of one of Canada's largest dairy producers, Saputo Inc. (in $ millions): Statement of financial position 2021 2020 2019 Accounts receivable $1,217 $1,372 $1,248 Inventory 2,294 2,221 1,681 Total current assets 3,948 4,069 3,134 Total assets 13,123 13,793 9,886 Current liabilities 2,146 2,494 1,932 Total liabilities 6,679 7,234 4,465 Statement of income Sales $14,294 $14,944 $13,502 Cost of goods sold 9,575 10,181 9,179 Interest expense 79 96 67 Income tax expense 218 217 230 Net income 626 583 755
- a) Based on the information provided, calculate the following ratios for the years ended 31December 2021 and 2020.You should give the formula for each ratio, in addition to your calculation.I. Gross profit marginII. Operating profit marginIII. Return on equityIV. Current ratioV. Gearing b) By comparing the financial information for years ended 31 December 2021 and 2020, andreviewing your ratio calculations, comment on the profitability, liquidity, and long-termsolvency of Mabel’s business over the past year. You should use the other information givento suggest reasons for any changes identified. c)If an investor was interested in buying Mabel’s business and was presented with theseresults, what further advice would you give them?1. Do the current Ration part 2. Please do a common-size comparative income statements for years Ended December 31,2022, 2019, and 2018 3. Do a balance sheet data in Trend Percents for December 31,2020, 2019, and 2018 Thank youFINANCIAL RATIO: Requirement: Compute for the following financial ratios for the year 2021 (round-off answers to two decimal places) a. Current ratio b. Quick (Acid-test) ratio c. Working capital d. Inventory turnover e. Days of inventory (use 365 days) f. Accounts receivable turnover (assume all sales are on credit) g. Days of receivable (use 365 days) h. Debt ratio i. Equity ratio j. Debt-to-equity ratio k. Gross profit ratio 1. Net profit ratio m. Return on assets n. Return on equity