Answered: What is the amount of the firm’s net…

Business

Finance

What is the amount of the firm’s net fixed assets?

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter1: The Role Of Accounting In Business

Section: Chapter Questions

Problem 1.4.2MBA: Return on assets The following data (in millions) were adapted from recent financial statements of...

See similar textbooks

Problem 3-15 Ratios and Fixed Assets

The Mikado Company has a ratio of long-term debt to long-term debt plus equity of .26 and a current ratio of 1.1. Current liabilities are $820, sales are $6,240, profit margin is 8.5 percent, and ROE is 18.7 percent. What is the amount of the firm’s net fixed assets? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Video Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

Step 2

Step 3

Step 4

Step 5

Step by step

Solved in 5 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Profit Margin and Debt Ratio Assume you are given the following relationships for the Haslam Corporation: Sales/total assets 1.5 Return on assets (ROA) 4% Return on equity (ROE) 7% Calculate Haslam's profit margin and liabilities-to-assets ratio. Do not round intermediate calculations. Round your answers to two decimal places. Profit margin: _______ % Liabilities-to-assets ratio: ______% Suppose half of its liabilities are in the form of debt. Calculate the debt-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places. _______%
Consider this simplified balance sheet for Geomorph Trading: Current assets Long-term assets $ 110 510 Net working capital $ 620 a. Debt-equity ratio b Long-term debt-to-capital ratio C. d. Current ratio a. What is the company's debt-equity ratio? (Round your answer to 2 decimal places.) b. What is the ratio of total long-term debt to total long-term capital? (Round your answer to 2 decimal places.) c. What is its net working capital? d. What is its current ratio? (Round your answer to 2 decimal places.) Current liabilities Long-term debt Other liabilities Equity $ 65 275 80 200 $ 620
Profit Margin and Debt Ratio Assume you are given the following relationships for the Haslam Corporation: Sales/total assets 1.7 Return on assets (ROA) 2% Return on equity (ROE) 6% Calculate Haslam's profit margin. Do not round intermediate calculations. Round your answer to two decimal places. % Calculate Haslam's liabilities-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places. % Suppose half of Haslam's liabilities are in the form of debt. Calculate the debt-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places. %
Ratio Analysis A. Chen Company has current assets equal to P5,000,000. Of these, P1,000,000 is cash, P2,250,000 is accounts receivable, P500,000 is inventory, and the remainder is marketable securities. Current liabilities total P4,000,000. Required: (Round answer to one decimal place) 1. Calculate the current ratio 2. Calculate the quick ratio
Problem 8 (Ratio Calculations) Assume the following relationships for Woody Corp: Sales/Total assets is 1.5x, Return on assets (ROA) is 3.0%, and Return on equity (ROE) is 5.0%. Calculate Woody Corp. profit margin and debt-to-assets ratio assuming the firm uses only debt and common equity.
Use the financial ratios of company A and company B to answer the questions below. Company A Company B Yr t+1 Year t Yr t+1 Year t Current ratio 0.55 0.59 0.56 0.55 Accounts receivable turnover 6.22 6.25 5.06 4.87 Debt to total assets 40.5% 40% 67.8% 65.9% Times interest earned 8.80 30.6 5.97 6.33 Free cash flows (in millions) ($3,819) $3,173 $168 $550 Return on stockholders’equity 7.7% 7.7% 26.6% 23.3% Return on assets 4.3% 4.3% 8.9% 7.9% Profit margin…
Problem 3-15 Ratios and Fixed Assets The Lawrence Company has a ratio of long-term debt to long-term debt plus equity of .37 and a current ratio of 1.5. Current liabilities are $930, sales are $6,350, profit margin is 9.6 percent, and ROE is 19.8 percent. What is the amount of the firm’s net fixed assets? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Problem 3-16 Calculating the Cash Coverage Ratio FVA Inc.’s net income for the most recent year was $34,625. The tax rate was 24 percent. The firm paid $9,120 in total interest expense and deducted $9,970 in depreciation expense. What was the cash coverage ratio for the year? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Problem 3-2 Equity Multiplier and Return on Equity Bello Company has a debt-equity ratio of .6. Return on assets is 7.5 percent, and total equity is $486,000. a. What is…
Question 1 The following information represent Mooncake Corporation Details Sales Cash Inventory Current liabilities Asset turnover Current ratio Debt to asset ratio Receivables turnover Calculate the following items: a. Accounts receivables b. Fixed asset c. Long Term Debt d. Debt to Asset Ratio RM 3,549,000 179,000 911,000 788,000 1.40 2.95 times 40% 7 times
ssume the following relationships for the Caulder Corp.: Sales/Total assets 1.2\times Return on assets (ROA ) 5.0% Return on equity (ROE) 15.0% Calculate Caulder's profit margin and debt-to-capital ratio assuming the firm uses only debt and common equity, so total assets equal total invested capital. Do not round intermediate calculations. Round your answers to two decimal places.
Question 3 Footfall Manufacturing Ltd. reports the following financial information at the end of the current year: Net Sales Debtor's turnover ratio (based on net sales) 2 Inventory turnover ratio Fixed assets turnover ratio |Debt to assets ratio |Net profit margin |Gross profit margin Return on investment |S100,000 1.25 0.8 0.6 5% 25% 2% Use the given information to fill out the templates for income statement and balance sheet given below: Income Statement of Footfall Manufacturinf Ltd. for the year ending December 31, 20XX (in S) 100,000 Sales Cost of goods sold Gross profit Other expenses Earnings before tax Тах @ 50% Earnings after tax Balance Sheet of Footfall Manufacturing Ltd. as at December 31, 20XX (in S) Liabilities Equity Long term debt Short term debt Amount Assets Net fixed assets Amount 50,000 Inventory Debtors Cash ТОTAL ТОTAL
QUESTION: I need to determine the following measures for 20Y2 for number 8 and 11-18 (Determine the following measures for 20Y2 (round to one decimal place, including percentages, except for per-share amounts): 1. Working Capital $ 1,584,000.00 2. Current ratio 2.8 3. Quick ratio 2.2 4. Accounts receivable turnover 20.0 5. Number of days' sales in receivables 18.3 6. Inventory turnover 15.0 7. Number of days’ sales in inventory 24.3 8. Ratio of fixed assets to long-term liabilities 9. Ratio of liabilities to stockholders’ equity 0.8 10. Times interest earned 8.7 11. Asset turnover 12. Return on total assets % 13. Return on stockholders’ equity % 14. Return on common stockholders’ equity % 15. Earnings per share on common stock $ 16. Price-earnings ratio 17. Dividends per share of common stock $ 18. Dividend yield % I posted below the Comparative Retained Earnings Statement,…
Consider this simplified balance sheet for Geomorph Trading: Current assets $ 350 Current liabilities $ 310 Long-term assets 700 Long-term debt 180 Other liabilities 70 Equity 490 $ 1,050 $ 1,050 Required: What is the company’s debt-equity ratio? Note: Round your answer to 2 decimal places. What is the ratio of total long-term debt to total long-term capital? Note: Round your answer to 2 decimal places. What is its net working capital? What is its current ratio?