The most recent financial statements for Minnie's Manufacturing Co. are shown below: Income Statement Balance Sheet $95,400 Current assets Sales $35,500 Debt $ 46,200 68,250 Costs Fixed assets 95,300 Equity 84,600 130,800 Taxable income $27,150 Total 2$ Total $130,800 Таx 6,245 Net Income $20,905 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 30 percent dividend payout ratio. No external financing is possible. What is the internal growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Internal growth rate %

The most recent financial statements for Minnie's Manufacturing Co. are shown below: Income Statement Balance Sheet $95,400 Current assets Sales $35,500 Debt $ 46,200 68,250 Costs Fixed assets 95,300 Equity 84,600 130,800 Taxable income $27,150 Total 2$ Total $130,800 Таx 6,245 Net Income $20,905 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 30 percent dividend payout ratio. No external financing is possible. What is the internal growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Internal growth rate %

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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Assume a company's Income Statement for Year 9 is as follows: Year 9 (in 000s) Income Statement Data Total Revenues Cost of Goods Sold Delivery Costs Marketing Costs Administrative Expenses Operating Profit (Loss) Other Income (Expense) Interest Income (Expense) Pre-tax Profit (Loss) Income Taxes Net Profit (Loss) $ 650,000 380,000 45,000 53,000 11,000 161,000 -2,600 -10,800 147,600 44,280 $ 103,320 Based on the above income statement data, the company's interest coverage ratio and its operating profit margin are 14.91 and 24.8%. 17.22 and 24.6%. 19.29 and 21.4%. 16.71 and 23.3%. 13.67 and 15.9%.
Selected income statement data for Abbott Laboratories, Bristol-Myers Squibb Company, Johnson & Johnson, GlaxoSmithKline plc, and Pfizer, Inc. is presented in the following table: Bristol- Johnson Glaxo Abbott Мyers & Smith ($ millions) Laboratories Squibb Johnson Kline plc Pfizer Sales revenue $38,851 $21,244 $65,030 £27,387 $67,425 Cost of sales 15,541 5,598 20,360 7,332 15,085 SG&A expense 12,757 5,160 20,969 8,826 19,468 R&D expense 4,129 3,839 7,548 4,009 9,112 Interest expense 530 145 571 799 1,681 Net income 4,728 5,260 9,672 5,458 10,051 Required a. Compute the profit margin (PM) and gross profit margin (GPM) ratios for each company. (As a British company, GlaxoSmithKline plc has a statutory tax rate of 26.5% in 2014; assume a statutory rate of 35% for all other companies.) (Round your answers to one decimal place.) Bristol- Johnson Glaxo Abbott Myers & Smith Laboratories Squibb Johnson Kline plc Pfizer PM % GPM % b. Compute the research and development (R&D) expense to sales…
Shown here are condensed income statements for two different companies (assume no income taxes). Miller Company Sales $ 1,400,000 Variable expenses (80%) 1,120,000 Income before interest 280,000 Interest expense (fixed) 74,000 Net income $ 206,000 Weaver Company Sales $ 1,400,000 Variable expenses (60%) 840,000 Income before interest 560,000 Interest expense (fixed) 354,000 Net income $ 206,000 What happens to each company's net income if sales increase by 40%
Metlock, Inc. has the following Income Statement (in millions): METLOCK, INC. Income Statement For the Year Ended December 31, 2023 Net Sales $178 Cost of Goods Sold 119 Gross Profit 59 Operating Expenses 40 Net Income $ 19 Using vertical analysis, what percentage is assigned to net sales? 100% 50% Can't be computed 150%

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