First National BankLiabilities and Owners' EquityDepositsDebtCapital (owners' equity)AssetsReserves$1,200$9,000Loans8,000500Short-term securities800500Refer to the Table. This bank's leverage ratio is2050.13.3.7.5.

Leverage ratio considers debt/equity ratio and debt/total capital ratio also. Following is the…

First National Bank Liabilities and Owners' Equity $9,000 Assets Reserves $1,200 Deposits 500 500 Loans 8,000 Debt Short-term securities 800 Capital (owners' equity) Refer to the Table. This bank's leverage ratio is 20 50. 13.3. 7.5.

First National Bank Liabilities and Owners' Equity $9,000 Assets Reserves $1,200 Deposits 500 500 Loans 8,000 Debt Short-term securities 800 Capital (owners' equity) Refer to the Table. This bank's leverage ratio is 20 50. 13.3. 7.5.

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

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Using the following financial information, this firm's total debt to total capital ratio is closest to: Cash $ 10,000 Accounts payable $ 30,000 Accounts receivables 50,000 Notes payable 20,000 Inventories 150,000 Total current liabilities $ 50,000 Total current assets $210,000 Long-term debt 50,000 Net fixed assets 90,000 Common equity 200,000 Total assets $300,000 Total liabilities & equity $300,000 Question 35 options: 8% 17% 67% 26%
The amount of Gross Loans is The following are real Iife data extracted from the Housing Bank financial statements. Use them to answer the questions. Additional Information: Accumulated Provislons for Loan Losses (end balance) 250; Number of Outstanding Shares 315,000,000 (315 MIllon) and share price JD9 (Balance Sheet (in Milion (Assets (JD Cash and Balances at Central Banks Balances at Banks and Financial institutions Deposits at Banks and Financial institutions Total Cash and Due trom Depository institutions Trading Investments Available for Sale Investments Held to Maturity Investments, Net Total Securitles 1,478 743 53 2,221 581 745 1,327 Investments in Affilates 2,369 Loans (or Credit Facilities), Net 93 Fixed Assets, Net 6. Doferred income Tax Assets Other Assets Total Asseta (Uabilitles (JD Customers Deposits Banks & Financial Institutions Deposits 71 6,090 4,430 284 Total Deposits Cash Margins 4,714 290
As loan analyst for Carla Bank, you have been presented the following information. Toulouse Co. Lautrec Co. Assets Cash $124,000 $335,000 Receivables 214,000 305,000 Inventories 589,000 523,000 Total current assets 927,000 1,163,000 Other assets 482,000 582,000 Total assets $1,409,000 $1,745,000 Liabilities and Stockholders’ Equity Current liabilities $301,000 $368,000 Long-term liabilities 409,000 482,000 Capital stock and retained earnings 699,000 895,000 Total liabilities and stockholders’ equity $1,409,000 $1,745,000 Annual sales $946,000 $1,559,000 Rate of gross profit on sales 30 % 40 % Each of these companies has requested a loan of $50,000 for 6 months with no collateral offered. Because your bank has reached its quota for loans of this type, only one of these requests is to be…
A bank has interest expense of $150 million, earning assets of $1.4 billion, and a net interest margin of 5.0%. The bank also has interest-bearing liabilities of $1.1 billion. The bank's spread ratio must be O 1.94% 1.10% 2.08% 1.65%
As loan analyst for Wildhorse Bank, you have been presented the following information. Toulouse Co. Lautrec Co. Assets Cash $119,000 $332,000 Receivables 226,000 298,000 Inventories 562,000 536,000 Total current assets 907,000 1,166,000 Other assets 483,000 636,000 Total assets $1,390,000 $1,802,000 Liabilities and Stockholders' Equity. Current liabilities $319,000 $350,000 Long-term liabilities 419.000 483,000 Capital stock and retained earnings 652,000 969,000 Total liabilities and stockholders' equity $1,390,000 $1,802,000 Annual sales $948,000 $1,453,000 Rate of gross profit on sales 30 % 40 % Each of these companies has requested a loan of $50,000 for 6 months with no collateral offered. Because your bank has reached its quota for loans of this type, only one of these requests is to be granted. Compute the various ratios for each company. (Round answer to 2 decimal places, eg. 2.25.) Toulouse Co. Lautrec Co. Current ratio :1 Acid-test ratio Accounts receivable turnover times times…
Calculate current ratio from the following information: $ $ Stock 50,000 Cash 30,000 Debtors 40,000 Creditors 60,000 Bills Receivable 10,000 Bills Payable 40,000 Advance Tax 4,000 Bank Overdraft 4,000
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The table below is the balance sheet for the Oilers Bank, which has a target reserve ratio of 5%. Liabilities/Equity Demand Deposits Shareholders' equity Assets $4,000 62,000 17,000 9,000 Reserves $72,000 20,000 Loans Securities Fixed assets Total 92,000 Total 92,000 a. The Oilers Bank is over-reserved v by $ b. The bank makes a loan equal to the excess reserves and the borrower writes a cheque (for the full amount of the loan) to another customer of the bank, who then deposits it. The new amount of excess reserves is $ c. Instead, the cheque written by the borrower is cleared against the Oilers Bank (the cheque was written to a customer of another bank). The amount of excess reserves held by the Oilers Bank is $ 14 of 40 Next > < Prev
Accounts payable $509,000Notes payable $244,000Current liabilities $753,000Long-term debt $1,246,000Common equity $4,751,000Total liabilities and equity $6,750,000 What percentage of the firm's assets does the firm finance using debt (liabilities)? b. If Campbell were to purchase a new warehouse for $1.4 million and finance it entirely with long-term debt, what would be the firm's new debt ratio?
1. The following accounts appeared on the partial Balance Sheet of Brandy Inc.: Accounts Payable Accounts Receivable $ 5,500 2,300 2,820 3,000 8,140 18,560 18,760 100 Bank Loan Cash Common Stock Inventory Long-term debt Machinery What is the total amount of all assets (rounded to the nearest dollar)?
Miracle Bank's balance sheet is the following. Assets Reserves Loans Short-term securities a. 70 Miracle Bank's leverage ratio is Ob. 0.0857 c. 8.57 Miracle Bank Od. 80 Liabilities & Owners' Equity $600 Deposits 6,400 Debt 1000 Capital (owners' equity) $7,000 990 10

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