d) Debt to Equity Ratio e) Proprietary Ratio
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A: “Since you have posted multiple questions with multiple sub parts, we will provide the solution only…
From the following information compute the following ratios:
d) Debt to Equity Ratio
e) Proprietary Ratio
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- 15. You work for the CEO of a new company that plans to manufacture and sell a new product, a watch that has an embedded TV set and a magnifying glass crystal. The issue now is how to finance the company, with only equity or with a mix of debt and equity. Expected operating income is $510,000. Other data for the firm are shown below. How much higher or lower will the firm's expected ROE be if it uses some debt rather than all equity, i.e., what is ROEL - ROEU? Do not round your intermediate calculations. 0% Debt, U 60% Debt, LQ39. Balance Sheet had the following amounts as at 31st March, 2019: $ Current Assets 10% Preference Share Capital Equity Share Capital 5,00,000 15,00,000 Current Liabilities Securities Premium Reserve Reserve and Surplus 1,00,000 Investments (in other companies) 4,00,000 Fixed Assets -Cots 30,00,000 Depreciation Written off Long-term from IDBI @ 9% Calculate ratios indicating the long-term and the Short-term financial position of the company. $ 12,00,000 8,00,000 2,00,000 60,00,000 14,00,000Please help prepare Financial position and comprehensive income statement
- Category. Prior Year Current Year Accounts payable ??? ??? Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 429,735.00 Current portion long-term debt 33,750 35,000 Depreciation expense 54,000 55,152.00 Interest expense 40,500 42,662.00 Inventories 279,000 288,000 Long-term debt 339,349.00 400,985.00 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl. depr.) 126,000 161,641.00 Retained earnings 306,000 342,000 Sales 639,000 848,846.00 Тахes 24,750 47,931.00= If Liabilities Equity AED 80,000, then Assets A. AED 210,000 B. AED 90,000 C. AED 150,000 D. AED 160,000Cost of Equity Debt ROC Capital ($ million) ($ million) (4) (8) Acme 250 125 178 Арех 1,250 417 15% 10 a-1. Calculate the economic value added for Acme and Apex. (Enter your answers In mllons rounded to 2 decimal places.) Economic value added for Acme Economic value added for Apex million million a-2. Which firm has the higher economic value added? O Acme O Apex b-1. Calculate the economic value added per dollar of Invested capital for Acme and Apex. (Round your answers to 2 decimal places.) Economic value added for Acme per dollar Economic value added for Apex per dollar
- B. Working Capital = Current Assets - Current Liabilities 2021 = Working Capital $263,000 - $50,000 $213,000 2022 Working Capital = $347,000 $69,000 = $278,000 Current Ratio = Current Assets Current Liabilities 2021 2022 Current Ratio = $263,000 $50,000 $347,000 $69,000 = 5.3:1 5.0:1 Debt to Total Assets = Total Liabilities Total Assets 2021 2022 = $180,000 $382,000 $184,000 $487,000 = 47.1% 37.8% C. The working capital has increased between 2021 and 2022, indicating greater liquidity for the firm in its ability to pay its current liabilities as they become due. The current ratio has decreased between 2021 and 2022; however, it is still quite high. Note also that there is a substantial portion of the current assets in cash and accounts receivable, which may be converted into cash quickly (assuming the receivables are collectible). The company, therefore, should not have any problems in paying its current liabilities as they become due. The debt to total assets indicates the percentage…A.4 ABC Company has on its books the following amounts and specific costs of each type of capital: Type of Book Value Market Value Specific Costs Capital ($) ($) Debt Preference Equity Retained Earnings 600,000 1,000,000 800,000 2,000,000 480,000 1,100,000 900,000 3,000,000 (a)Book Value weights, and (b) Market Value weights (%) 5 4,400,000 5,480,000 Determine the weighted average cost of capital using 8 15 13Mondesto Company has the following debts: Unsecured creditors . . . . . . . $230,000Liabilities with priority . . . . . 110,000Secured liabilities:Debt 1, $210,000; value of pledged asset . . . . . . . . . . . . . . . . . . . . 180,000Debt 2, $170,000; value of pledged asset . . . . . . . . . . . . . . . . . . . . 100,000Debt 3, $120,000; value of pledged asset . . . . . . . . . . . . . . . . . . . . 140,000 The company also has a number of other assets that are not pledged in any way. The creditors holding Debt 2 want to receive at least $142,000. For how much do these free assets have to be sold so that the creditors associated with Debt 2 will receive exactly $142,000?
- Balance Sheet (dollars in thousands) and Duration (in years) Duration AmountT-bills. 0.5 $ 90T-notes 0.9 55T-bonds 4.393 176Loans 7 2,724Deposits. 1 2,092Fed. funds 0.01 238Equity 715What is the average duration of all the assets? What is the average duration of all the liabilities? What is the FI’s leverage-adjusted duration gap? What is the FI’s interest rate risk exposure? If the entire yield curve shifted upward 0.5 percent (i.e., ΔR/(1 + R) = 0.0050), what is the impact on the FI’s market value of equity? If the entire yield curve shifted downward 0.25 percent (i.e., ΔR/(1 + R) = −0.0025), what is the impact on the FI’s market value of equity?ABC Industry and Trade Inc. Balance Sheet as of 31.12.2020 (TL) transactions ASSETS(Assets) I-Current Assets Ready Values Securities Commercial debts Stocks Other Current Assets Current Assets Total I-Fixed Assets Financial Fixed Assets Tangible Fixed Assets Total Fixed Assets TOTAL ASSETS 31.12.2020 Amount Vertical Percent (%) 360.000 12 45.000 1.5 870.000 29 840.000 28 255.000 8.5 2.370.000 79 390.000 13 240.000 8. 630.000 21 3.000.000 100 LIABILITIES(RESOURCES) l-Short Term Liv. resources Financial Debts Trade payables Short Term Foreign Resource Total Il-Long-Term Liabilities Financial Debts Long Term Liv. Source Ball. III-Equity Paid-in capital Profit Reserves Net profit for the period Previous Year's profit Total Equity TOTAL LIABILITIES (RESOURCES) 39.000 1.3 120.000 4 159.000 5.3 81.000 2.7 81.000 2.7 120.000 4 420.000 14 1.950.000 65 270.000 9 2.760.000 92 3.000.000 100 Requested: Calculate the vertical percentages of the Balance Sheet items of ABC Sanayi ve Ticaret A.Ş. dated…Need answer Accounting question