FI3300: CORPORATE FINANCE. Problem Set 2 Chapters 1-5
|
|
- Philip Randall
- 5 years ago
- Views:
Transcription
1 FI3300: CORPORATE FINANCE Problem Set 2 Chapters What are the two things corporations can do with net income? a. buy bonds and stocks is the most common b. pay dividends or reinvest it in the company c. issue new stock in that amount and buy new computers d. improve the company s facilities and pay bills e. buy stock in another company and sell bonds 2. Which of the following items would have NO effect on the current ratio? a. increasing the average collection period b. paying down long-term debt with cash c. the sale of inventory to pay off accounts payable d. issuing new stock and placing the proceeds in the cash account e. purchase of inventory with cash 3. Why is profit maximization not the goal of financial management? a. profit maximization is the goal of financial management b. since profits are after taxes, management needs to lower profits c. seeking profit alone doesn t consider risk in obtaining profits d. profits are based on historical costs not market values e. financial managers are supposed to increase dividends 4. Which of the following is INCORRECT? a. an increase in an asset account is a use of funds b. an increase in total stockholders equity is a use of funds c. a decrease in liabilities is a use of funds d. an increase in total stockholders equity is a source of funds e. An increase in Accounts Payable is a source of funds. 5. Which of the following are the financing decision variables used when determining Outside Funds Needed (OFN)? a. common stock, notes payable, long term debt b. accounts receivable, cash, inventory c. land, owner s equity and accrued taxes d. accounts payable, accrued wages, and accrued expenses e. sales, ending inventory, wages payable, interest expense Use the following to prepare a multi-step income statement for Paws, Inc. and answer Repairs and maintenance costs 3,000 Ending inventory 90,000 Advertising expenditures 9,000 Depreciation expense 25,000
2 Beginning inventory 100,000 Interest expense 30,000 Taxes 19,950 Gross sales 600,000 Management salaries 40,000 Returns and allowances 30,000 Materials purchases 210,000 Lease payments 50,000 R&D expenditures 8,000 Accumulated depreciation(prior year) 300, Paws COGS is $. a. 295,000 b. 250,000 c. 220,000 d. 280, Paws gross profit is $. a. 215,000,000 b. 220,000 c. 570,000 d. 350, Paw s operating profit is $. a. 215,000 b. 240,000 c. 250,000 d. 220, Panther s net profit margin is %. a b c d Panther s accumulated depreciation for this year is $. a. 25,000 b. 300,820 c. 275,820 d. 325,820 Use the following to prepare a balance sheet for the Panther Company and answer Common Stock (Par US$1.5) 300,000
3 Accounts payable 140,000 Net Account receivables (2-3) 200,000 Retained Earnings 300,000 Current portion of Long-term debt 10,000 Accumulated depreciation 150,000 Cash??????? Notes Payable 50,000 Long Term Debt (excluding current 300,000 portion) Additional paid-in capital 150,000 Gross Fixed Assets 400,000 Inventories 700,000 Accrued expenses 20,000 Net Income 154,000 Retained Earnings (Prior year) 200,000 Depreciation (Current Year) 100,000 Net fixed assets (prior year) 300, Panther s cash balance is $. a. 120,000 b. 12,000 c. 100,000 d. 90, Panther s net fixed assets are $. a. 220,000 b. 230,000 c. 250,000 d. 260, Panther s dividend per share is $. a b c d Panther s Earnings per share are $. a b. 0.61
4 c d Panther s spent $ on fixed assets in the current year. a. 55,000 b. 100,000 c. 65,000 d. 50, Steeler s total liabilities are $. a. 220,000 b. 300,000 c. 520,000 d. 750,000 Use the following information of Big Kahuna Burger Inc. to answer questions BALANCE SHEET Big Kahuna Burger Inc. For the 12-month Period ending December, Cash Net Account receivables Inventories Current Assets Net Fixed assets Long Term Investments in stocks of other companies Total Assets Short term Bank loans (Notes Payable) Accounts payable Accrued expenses Current portion of Long-term debt Total Current Liabilities Long Term Debt (excluding current portion) Common Stock (Par US$1.5) Additional paid-in capital Retained Earnings Total Liabilites and Equity
5 INCOME STATEMENT Big Kahuna Burger Inc. For the 12-month Period ending December Net Sales COGS Gross Profit Operating Expenses (Excluding depreciation) Depreciation Operating Profit or EBIT Interest Expense Profit before taxes (EBT) Taxes (35%) Net Income Accumulated depreciation in 2008 was 231, Cash flow from operations is $. a. 43,900 b. 74,900 c. 75,900 d. 80, Cash flow from investing is $. a. -94,000 b. 94,000 c. -125,000 d. 125, Cash flow from financing is $. a. -30,000 b. 30,000 c. -69,150 d. 69, Total change in cash flow is $. a. 119,250
6 b. -119,250 c. 22,750 d. -22,750 For questions use the information in the Balance Sheets and the Income Statements of Big Kahuna Burger, Inc. Also, suppose that the Net Profit Margin in 2009 will remain the same as in 2008, Net Sales will increase 20% and the dividends that will be paid are projected to be 45% of Net Income in Retained earnings are $. a. 280,000 b. 300,000 c. 335,490 d. 370, Total outside funds needed will be $. a. 253,910 b. 289,400 c. 299,000 d. 353,910 For questions use the following information: Balance Sheet Cash Notes Payable 50 Inventory Accrued Expenses Net Fixed Assets 300 Long Term Debt 200 Total Assets Common Stock (US$1) Retained Earnings 100 Total Debt and Equity 600 Equity Ratio = 0.5, Current Ratio=3, Quick Ratio =1 23. Accrued Expenses are $. a. 25 b. 50 c. 100 d Common Stock is $. e. 100
7 f. 150 g. 200 h Inventory is $. a. 100 b. 150 c. 200 d Assume you are given the following relationships for the Tim s Inc.: Return on assets (ROA) 12% Return on equity (ROE) 30% Tim s debt ratio is: a. 40% b. 60% c. 4% d. 6% 27. Jameston Inc. has just issued 100,000 new shares of common stock and paid down the company s long-term debt. Assuming all else unchanged, which of the following is (or are true)? a. Return on Assets remains constant b. Debt Ratio decreases c. Return on Assets increases d. Debt ratio remains constant e. Statements a and b are correct f. Statements c and d are correct. 28. Hatori Corp. has sales of $50,000, total assets of $40,000, and a debt ratio of.40. If its return on equity is 15%, what is its profit margin? a. 7.2% b. 1.25% c. 20% d. 15% e. 72% 29. A fire destroyed a large percentage of the financial records of the Mickey&Mallory, Co. You have the task of piecing together information in order to release a financial report. You have found the return on equity to be 16%. The total debt ratio was 40% and total debt was $200,000. What is the return on assets? a. 9.6% b. 8.0% c. 6.4% d. 4.6%
8
FI3300: CORPORATE FINANCE. Problem Set 1 Chapters 1-5
FI3300: CORPORATE FINANCE Problem Set 1 Chapters 1-5 1. The goal of the firm is to. a. maximize profit b. minimize risk c. promote social good d. maximize shareholder wealth 2. Which of the following would
More informationExam 1 Sample Questions FINAN303 Principles of Finance McBrayer Spring 2018
Sample Multiple Choice Questions 1. The effect of a stock dividend (i.e., stock split) is that it a. Reduces owner s equity. b. Increases retained earnings. c. Reduces the liabilities of the firm. d. Increases
More informationFinancial & Managerial Accounting Practice with Ratios and Analysis
Financial & Managerial Accounting Practice with Ratios and Analysis A company had the following income statement for the year and the balance sheet accounts at the end of the year. Use the information
More informationLEXMARK INTERNATIONAL GROUP, INC. AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS (In Millions, Except Per Share Amounts) (Unaudited)
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS (In Millions, Except Per Share Amounts) Revenues Cost of revenues Gross profit Three Months Ended $787.0 501.8 285.20 $672.1 425.5 246.60 Percent Change 17%
More informationFinancial Planning Process
Financial Planning Process 1. Forecast financial statements under alternative operating plans. 2. Determine amount of capital needed to support the plan. 3. Forecast the funds that will be generated internally
More informationCMA 2010 Support Package
CMA 2010 Support Package Ratio Definitions CMA EXAM RATIO DEFINITIONS Abbreviations EBIT = Earnings before interest and taxes EBITDA = Earnings before interest, taxes, depreciation and amortization EBT
More informationGeorgia Banking School Financial Statement Analysis. Dr. Christopher R Pope Terry College of Business University of Georgia
Georgia Banking School Financial Statement Analysis Dr. Christopher R Pope Terry College of Business University of Georgia Introduction Objective My objective is to introduce you to the analysis of financial
More informationProblem Set One. Name
MK602 Problem Set One Name The first part of the case, presented in Chapter 3 (pages 123-125), discussed the situation that Computron Industries was in after an expansion program. Thus far, sales have
More informationUNDERSTANDING FINANCIAL STATEMENTS, TAXES, AND CASH FLOWS. Chapter 3
1 UNDERSTANDING FINANCIAL STATEMENTS, TAXES, AND CASH FLOWS Chapter 3 2 Learning Objectives (1 of 2) 1. Describe the content of the four basic financial statements and discuss the importance of financial
More informationSimple Financial Measures
Handout for Business 189 undergraduate course in Strategic Management Simple Financial Measures Simon Rodan Department of Management Lucas College of Business San José State University One Washington Square
More informationGeorgia State University J. Mack Robinson College of Business. Spring 2010: FI3300 Financial Accounting Assignment
Georgia State University J. Mack Robinson College of Business Spring 2010: FI3300 Financial Accounting Assignment Instructions 1. Please email an Excel spread sheet for questions 1 20 to itkatch@gsu.edu
More informationRisk, Return and Capital Budgeting
Risk, Return and Capital Budgeting For 9.220, Term 1, 2002/03 02_Lecture15.ppt Student Version Outline 1. Introduction 2. Project Beta and Firm Beta 3. Cost of Capital No tax case 4. What influences Beta?
More informationBusiness Ratios. Current Ratio
Current Ratio Business Ratios Measures whether or not the firm has enough resources to pay its debt over the next 12 months formula: Current Ratio = Current Assets Current Liabilities Acceptable ratios
More informationChapter 2 Financial Statement and Cash Flow Analysis
Chapter 2 Financial Statement and Cash Flow Analysis MULTIPLE CHOICE 1. Which of the following items can be found on an income statement? a. Accounts receivable b. Long-term debt c. Sales d. Inventory
More informationPRINT Name: Brief Answer Key.
Financial & Managerial Accounting Fall 2009 Exam 2 General Instructions. Make sure you write answers clearly. Make sure to show your work when appropriate partial credit can be given for work shown. Finally,
More informationChapter 02 Analysis of Financial Statements
Chapter 02 Analysis of Financial Statements TRUEFALSE 1. The information contained in the annual report is used by investors to form expectations about future earnings and dividends. 2. Noncash assets
More informationChapter 3: Accounting and Finance
FIN 301 Class Notes Chapter 3: Accounting and Finance INTRODUCTION Accounting Function: Gathering, processing, and reporting data. End result is a set of four financial statements 1- Balance sheet 2-Income
More informationUnderstanding Financial Management: A Practical Guide Problems and Answers
Understanding Financial Management: A Practical Guide Problems and Answers Chapter 3 Interpreting Financial Ratios 3.2 Liquidity Ratios 1. Ink Inc. has had a stable current ratio over the past three years
More informationGraded Project. Financial Management
Graded Project Financial Management OBJECTIVE 1 PURPOSE 1 SCORING GUIDELINES 11 Contents iii Financial Management OBJECTIVE Demonstrate the ability to perform financial calculations and analysis related
More informationCFIN4 Chapter 2 Analysis of Financial Statements
1. The income statement measures the flow of funds into (i.e. revenue) and out of (i.e. expenses) the firm over a certain time period. It is always based on accounting data. Income statement 2. The balance
More informationWorking with Financial Statements
Working with Financial Statements Lakehead University September 2005 Overview of the Lecture 3.2 Standardizes Financial Statements 3.3 Ratio Analysis 3.4 Dupont Identity 3.5 Using Financial Statement Information
More informationWorking with Financial Statements
Working with Financial Statements Lakehead University September 2005 Overview of the Lecture 3.2 Standardizes Financial Statements 3.3 Ratio Analysis 3.4 Dupont Identity 3.5 Using Financial Statement Information
More information1. An inventory turnover ratio of 10 means that, on average, items are held in inventory for 10 days.
Chapter 02 Evaluating Financial Performance True / False Questions 1. An inventory turnover ratio of 10 means that, on average, items are held in inventory for 10 days. True False 2. All else equal, an
More informationCHAPTER 2 ANALYSIS OF FINANCIAL STATEMENTS
TRUE/FALSE CHAPTER 2 ANALYSIS OF FINANCIAL STATEMENTS 1. The income statement measures the flow of funds into (i.e. revenue) and out of (i.e. expenses) the firm over a certain time period. It is always
More information4. Using the same information above, what is the firm's profit margin for the year
Accounting 211 Practice Questions: Chapters 7-12 1 Assume a building was purchased for $50,000 and used for five of its estimated 10-year life. It has a residual value of $5,000 and the straight-line method
More informationYasheng Group 2010 Financial Results
Yasheng Group 2010 Financial Results CONSOLIDATED BALANCE SHEETS 2010 2009 2008 ASSETS 849,454,265 739,630,043 736,213,299 Current assets: Cash and cash equivalents 10,116,750 8,010,017 7,880,338 Accounts
More informationFAQ: Financial Statements
Question 1: What is the correct order in which financial reports must be created? Answer 1: The income statement is created first, then the owners' equity statement, and finally the balance sheet. This
More information1. Which of the following statements is an implication of the semi-strong form of the. Prices slowly adjust over time to incorporate past information.
COURSE 2 MAY 2001 1. Which of the following statements is an implication of the semi-strong form of the Efficient Market Hypothesis? (A) (B) (C) (D) (E) Market price reflects all information. Prices slowly
More informationTaxes. Financial Statements: Things to Keep in Mind. Cash Flow and Taxes. BUSI 7110/7116 Yost
Cash Flow and Taxes Financial Statements: Things to Keep in Mind Backward vs. Forward Looking Book Values vs. Market Values Accounting Numbers vs. Cash Flows Tax Deductible vs. Taxable Notes to Financial
More informationSession 2, Sunday, April 2nd (1:30-5:00) v Association for Financial Professionals. All rights reserved. Session 3-1
Session 2, Sunday, April 2nd (1:30-5:00) v2.0 2014 Association for Financial Professionals. All rights reserved. Session 3-1 Chapters Covered Financial Accounting and Reporting: Part I, Domain B Chapter
More information1. An inventory turnover ratio of 10 means that, on average, items are held in inventory for 10 days.
Analysis for Financial Management 11th Edition Higgins Test Bank Full Download: http://testbanklive.com/download/analysis-for-financial-management-11th-edition-higgins-test-bank/ Chapter 02 Evaluating
More informationChapter 4. Funds-Flow Analysis and Forecasting. Overview of the Lecture. September The Statement of Cash Flows. Pro Forma Financial Statements
Chapter 4 Funds-Flow Analysis and Forecasting September 2004 Overview of the Lecture The Statement of Cash Flows Pro Forma Financial Statements 2 The Statement of Cash Flows The statement of cash flows
More informationConnecticut Natural Gas Corporation. Financial Statements (Unaudited) June 2007
Financial Statements (Unaudited) June 2007 Statements of Income (Unaudited) Three Months Six Months Periods ended June 30 2007 2006 2007 2006 Operating Revenues Sales and services $58,882 $61,057 $248,468
More informationALLENDALE BANCORP, INC. AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS December 31, ASSETS Cash and Cash Equivalents Cash $ 2,063,294 $ 2,247,650 Due from banks, non-interest bearing 1,816,887 1,200,145 Federal funds sold 9,931 1,019,691 Total
More informationBALANCE SHEET NANOLOGIX, INC. (A DEVELOPMENT STAGE COMPANY) September 30, 2012 and September ASSETS
BALANCE SHEET September 30, 2012 and 2011 ASSETS September 30 2012 2011 CURRENT ASSETS Cash and cash equivalents $ 114,761 $ 270,092 Accounts receivable 63,300 - Prepaid expenses 7,400 3,207 TOTAL CURRENT
More informationPresented by SCOTT TRANSUE
Presented by SCOTT TRANSUE Cash vs. accrual Key definitions Balance sheets Income statements Cash flow statements Break-even analysis Today s Agenda Ratios Recognizes transactions when they occur Recognizes
More informationChapter 02 Evaluating Financial Performance
Chapter 02 Evaluating Financial Performance Multiple Choice Questions 1. The most popular yardstick of financial performance among investors and senior managers is the: A. profit margin. B. return on equity.
More informationNet income Net Sales. or in other words Return on equity = Return on sales x Asset turnover x Asset-to-equity ratio
1. Which of the following statements is CORRECT? A. High current and quick ratios always indicate that a firm is managing its liquidity position well. B. A decline in a firm's inventory turnover ratio
More informationBUS291-Business Finance 12/17/13
Chapter 4 4 Maintain and Analyze Financial Records 4.1 Accounting Principles and Practices 4.2 Maintain and Use Financial Records 4.3 Financial Analysis Management Tools 4.4 Financial Analysis and Decision
More informationAFP Financial Planning & Analysis Learning System Session 2, Sunday, April 2nd (1:30-5:00)
AFP Financial Planning & Analysis Learning System Session 2, Sunday, April 2nd (1:30-5:00) Chapters Covered Financial Accounting and Reporting: Part I, Domain B Chapter 7 Ratio Analysis: Part I, Domain
More informationCHAPTER 2 ANALYSIS OF FINANCIAL STATEMENTS
CHAPTER 2 ANALYSIS OF FINANCIAL STATEMENTS 1 Learning Outcomes LO.1 Describe the basic financial information that is produced by corporations and explain how the firm s stakeholders use such information.
More informationCompany Information. December 27 December 28 December Company Name. Panera Bread Company. Fiscal Year End Dates
Company Information Company Name Fiscal Year End Dates Balance Sheet Units (i.e. 000's) Income Statement Units (i.e. 000's) Most Recent Year for Data Date of Analysis 2011 Calendar Year Industry Comparisons
More informationChapter 13 Statement of Cash Flows Study Guide Solutions Fill-in-the-Blank Equations. Exercises
Chapter 13 Statement of Cash Flows Study Guide Solutions Fill-in-the-Blank Equations 1. Net cash flow from operating activities 2. Change in Cash 3. Cash used to purchase property, plant, and equipment
More informationWorking with Financial Statements, Part II
Working with Financial Statements, Part II Faculty of Business Administration Lakehead University Spring 2003 May 7, 2003 Outline of Chapter 3, Part II 3.3 Ratio Analysis 3.4 The DuPont Identity 3.5 Using
More informationExercises Corporate Finance
Exercises Financial Accounting I) Consider the following business case. Prepare the financial statements (balance sheet, income statement, cash flow statement) for the year 01. You decide to open a beverage
More informationLecture 4. Interpreting and using financial statements for valuation II. Financial ratio analysis
Lecture 4 Interpreting and using financial statements for valuation II Financial ratio analysis Agenda Use of financial ratios ROE decomposition Growth, risk, and, cash flow 2 What are financial ratios
More informationSolution Manual for Corporate Finance 10th Edition by Ross
Solution Manual for Corporate Finance 10th Edition by Ross Link download full: https://testbankservice.com/download/solution-manualfor-corporate-finance-10th-edition-by-ross Test Bank for Corporate Finance
More information4 Chapter 2 Chapter 2: Financial Statement and Cash Flow Analysis
4 Chapter 2 Chapter 2: Financial Statement and Cash Flow Analysis Answers to End of Chapter Questions 2-1. Financial statement analysis provides information about the company s financial health, and its
More informationWorking with Financial Statements
Working with Financial Statements Lakehead University September 2004 Overview of the Lecture 3.1 Cash Flow and Financial Statements 3.2 Standardizes Financial Statements 3.3 Ratio Analysis 3.4 Dupont Identity
More informationWorking with Financial Statements
Working with Financial Statements Lakehead University September 2004 Overview of the Lecture 3.1 Cash Flow and Financial Statements 3.2 Standardizes Financial Statements 3.3 Ratio Analysis 3.4 Dupont Identity
More informationChapter 3 Analysis of Financial Statements. Ratio Analysis Please refer to the attached financial statements, and industry average ratios
Chapter 3 Analysis of Financial Statements Ratio Analysis Please refer to the attached financial statements, and industry average ratios In this chapter, we will cover Liquidity ratios Asset management
More informationSTATEMENT OF STOCKHOLDERS (DEFICIT) NANOLOGIX, INC. (A DEVELOPMENT STAGE COMPANY) For the Period From Inception June 21, 1989 to December 31, 2013
STATEMENT OF STOCKHOLDERS (DEFICIT) NANOLOGIX, INC. (A DEVELOPMENT STAGE COMPANY) For the Period From Inception June 21, 1989 to December 31, 2013 (Deficit) Accumulated Additional During the Common Stock
More informationFCF t. V = t=1. Topics in Chapter. Chapter 16. How can capital structure affect value? Basic Definitions. (1 + WACC) t
Topics in Chapter Chapter 16 Capital Structure Decisions Overview and preview of capital structure effects Business versus financial risk The impact of debt on returns Capital structure theory, evidence,
More informationCHAPTER 3. Topics in Chapter. Analysis of Financial Statements
CHAPTER 3 Analysis of Financial Statements 1 Topics in Chapter Ratio analysis DuPont equation Effects of improving ratios Limitations of ratio analysis Qualitative factors 2 Determinants of Intrinsic Value:
More informationChapter 17 Financial Planning and Forecasting
Chapter 17 Financial Planning and Forecasting Companies base their operating plans on forecasted financial statements. The company must first forecast sales for the next few years. Then determine the assets
More informationRocco Sabino MBA, CPA
Rocco Sabino MBA, CPA Rocco.Sabino@Stonybrook.edu Agenda: I. Understanding Financial Information Ø Financial Statements q Income Statement It s all about earning income How does Human Resource (HR) affect
More informationCFA-Level-I. Financial. Chartered Financial Analyst Level I (CFA Level I)
Financial CFA-Level-I Chartered Financial Analyst Level I (CFA Level I) Download Full Version : http://killexams.com/pass4sure/exam-detail/cfa-level-i QUESTION: 566 For which of the following ways of manipulating
More informationInvestment Analysis (FIN 383) Spring Homework 9
Investment Analysis (FIN 383) Spring 2009 Homework 9 Instructions: please read carefully You should show your work how to get the answer for each calculation question to get full credit The due date is
More informationASSURANCE OF LEARNING EXERCISE 8C: PERFORM AN EPS/EBIT ANALYSIS FOR WALT DISNEY
Bus 411 Assignment 5 Due March 17 at the beginning of class (2:00 PM) ASSURANCE OF LEARNING EXERCISE 8C: PERFORM AN /EBIT ANALYSIS FOR WALT DISNEY An /EBIT analysis is one of the most widely used techniques
More informationFINANCIAL ANALYSIS TYPES OF FINANCIAL STATEMENTS FINANCIAL RATIOS BASIC SOURCES AND USES OF FUNDS TOPIC PREVIEW LEARNING OBJECTIVE
FINANCIAL ANALYSIS TOPIC PREVIEW TYPES OF FINANCIAL STATEMENTS FINANCIAL RATIOS BASIC SOURCES AND USES OF FUNDS LEARNING OBJECTIVE Students be able to: Distinguish the different types of financial statements
More informationI-1a Record a journal entry for the following: During fiscal 2012, Jerri s Pampering Day Spa purchased office computers for $1,500 cash.
Financial Accounting Eam 3.2 Solution 1 Part I: Basic Level Questions Question I-1 (1/2 point each, for a total of 2 1/2 points) I-1a During fiscal 2012, Jerri s Pampering Day Spa purchased office computers
More informationChapter 13 Equity Valuation
Chapter 3 Equity Valuation. = $9.9 2. (a) and (b) 3. a. = 2% b. $8.8 The price falls in response to the more pessimistic forecast of dividend growth. The forecast for current earnings, however, is unchanged.
More informationChapter 1: Comparable Companies Analysis
Chapter 1: Comparable Companies Analysis 1) All of the following are reasons why comparable companies analysis should be used in conjunction with other valuation methodologies EXCEPT: I. Markets may be
More informationREINFORCEMENT ACTIVITY 3, Part B, p. 715
REINFORCEMENT ACTIVITY 3, Part B, p. 715 10. Unadjusted Trial Balance December 31, 20X4 ACCOUNT TITLE DEBIT CREDIT Cash 25 0 0 1 40 Petty Cash 4 0 0 00 Accounts Receivable 15 7 8 9 20 Allowance for Uncollectible
More informationAccounting and Ratio Analysis
Accounting and Ratio Analysis Essentials in Management Prof. Sudhakar Balachandran Understanding Financial Performance: Ratio Analysis 1 Objectives: Understanding Financial Performance 1) Introduce the
More informationa. $1.00 b. $0.80 c. $1.60 d. $1.17 e. $ Which of the following statements is NOT correct about the rights
1- Firm expects to pay dividends at the end of each of the next four years of $1.00, $1.40, $2.00, and $3.00. If growth is then expected to level off at 9 percent, and if you require a 13 percent rate
More informationThis lesson covers the accounting for stockholders equity of a corporation.
Accounting Fundamentals Lesson 9 9.0 Stockholders Equity This lesson covers the accounting for stockholders equity of a corporation. Features of a corporation: Corporations differ from proprietorships
More information0. Introduction. What is finance? What are the two main branches of finance? What are the three main aspects of corporate finance?
1 0. Introduction What is finance? What are the two main branches of finance? What are the three main aspects of corporate finance? 2 1. Financial statements and cash flow A quick review of balance sheet
More informationBusiness 2019 Finance I Lakehead University. Midterm Exam
Business 2019 Finance I Lakehead University Midterm Exam Philippe Grégoire Fall 2002 Time allowed: 2 hours. Instructions: Calculators are permitted. One 8.5 11 inches crib sheet is allowed. Verify that
More informationEvaluating a Firm s Financial Performance
Modul ke: Manajemen Keuangan Evaluating a Firm s Financial Performance Fakultas EKONOMI & BISNIS Hidayat Wiweko,S.E.,M.Si. Program Studi Manajemen MODUL 3 : Financial Statement Analysis Are our decisions
More informationChapter 9 Financial Accounting, 5 th Edition by Dyckman, Hanlon, Magee, & Pfeiffer. Solutions to Practice Quiz
Chapter 9 Financial Accounting, 5 th Edition by Dyckman, Hanlon, Magee, & Pfeiffer Solutions to Practice Quiz Topic: Bond Book Value LO: 3 1. The following information is available for Compton Company.
More informationFundamentals of Finance and Accounting for Nonfinancial Managers Lesson Worksheets
Fundamentals of Finance and Accounting for Nonfinancial Managers Lesson Worksheets 2218V Updated 01/2016 Fundamentals of Finance and Accounting for Nonfinancial Managers i Table of Contents Lesson One
More informationSolutions to Final Exam, BA 202A, Fall 1999
Solutions to Final Exam, BA 202A, Fall 1999 Solution for Marketable Securities Question: a. Since A is a trading security, its unrealized gain or loss appears in income. Since it is the only trading security
More informationDiscussion Questions
Understanding the Financial Environment of Public Utility Firms Sanford V. Berg Joel F. Houston 1 Overview Our plan is to help facilitate a series of discussions related to utility finance. We will pose
More informationSTATEMENT OF STOCKHOLDERS (DEFICIT) NANOLOGIX, INC. (A DEVELOPMENT STAGE COMPANY) For the Period From Inception June 21, 1989 to June 30, 2013
STATEMENT OF STOCKHOLDERS (DEFICIT) NANOLOGIX, INC. (A DEVELOPMENT STAGE COMPANY) For the Period From Inception June 21, 1989 to June 30, 2013 (Deficit) Accumulated Additional During the Common Stock Preferred
More informationCh02 Solutions Manual pdf Ch02 Show.pdf
Ch02 Solutions Manual 2015-10-07.pdf Ch02 Show.pdf Chapter 2 Financial Statements, Cash Flow, and Taxes ANSWERS TO END-OF-CHAPTER QUESTIONS 2-1 a. The annual report is a report issued annually by a corporation
More informationEL PASO NATURAL GAS COMPANY, L.L.C. CONSOLIDATED FINANCIAL STATEMENTS For the Three and Six Months Ended June 30, 2013 and 2012 Unaudited
CONSOLIDATED FINANCIAL STATEMENTS For the Three and Six Months Ended June 30, 2013 and Unaudited TABLE OF CONTENTS Page Number Consolidated Financial Statements Consolidated Statements of Income and Comprehensive
More informationFull file at
Chapter 03 1. Projected future financial statements are called: A. plug statements. B. pro forma statements. C. reconciled statements. D. aggregated statements. E. comparative statements. 2. The extended
More informationPLANNING FOR YOUR AGRIPRENEURSHIP BUSINESS
PLANNING FOR YOUR AGRIPRENEURSHIP BUSINESS 1 Creating a basic business plan: Understanding your financials Introduction: Welcome to How to Write Your Business Plan 101! As agricultural entrepreneurs, or
More informationForecasting for Financial Planning
Forecasting for Financial Planning 1 Learning Objectives The importance of forecasting to business success. The financial forecasting process. Preparation of pro forma financial statements. The importance
More informationFinancial Modeling Fundamentals Module 02 The Three Financial Statements Quiz Questions
Financial Modeling Fundamentals Module 02 The Three Financial Statements Quiz Questions 1. Why do companies need three financial statements instead of just an Income Statement? a. Because Net Income doesn
More informationFINANCE WITHOUT FEAR. Japanese automakers, 164, 214 Just-in-time inventory, 164, 214. Historical cost, 93, 100 Home equity, 286
A Accounting estimates, 54, 66 Accounting period, 75, 120 Accounting rules, 47 accrual accounting, 63 cost of goods sold. 64 depreciation, 93 examples, 75 interest, 59 plant, property and equipment, 93
More informationIntroduction... 4 Cash vs Accrual Components of the Balance Sheet How to Get a Snapshot View with Balance Sheet Accounts Ratios...
TABLE OF CONTENTS Introduction... 4 Cash vs Accrual... 5 Components of the Balance Sheet... 6 How to Get a Snapshot View with Balance Sheet Accounts... 7 Ratios... 8 Entrepreneurial Finance: Bonus Ratios
More informationBalance Sheet. 6th Fiscal Year (as of Dec ) 5th Fiscal Year (as of Dec )
Balance Sheet 6th Fiscal Year (as of Dec. 31 2006) 5th Fiscal Year (as of Dec. 31 2005) 6th year 5th year ASSETS I. CURRENT ASSETS 501,121,703,544 514,731,203,929 (1) Quick assets 400,439,958,565 446,840,327,827
More informationWikipedia: "Financial Ratio" Contents. Sources of Data for Financial Ratios. Purpose and Types of Ratios
Wikipedia: "Financial Ratio" A financial ratio or accounting ratio is a relative magnitude of two selected numerical values taken from an enterprise's financial statements. Often used in accounting, there
More informationFinancial Statement Analysis
Financial Statement Analysis Lakehead University September 2003 Overview of the Lecture 2.1 Financial Statements 2.2 Ratio Analysis 2.4 Common-Size Analysis 2.3 Changing Prices 2.5 International Considerations
More informationBusiness 5039, Fall 2004
Business 5039, Fall 4 Assignment 3 Suggested Answers 1. Financial Planning Using the financial statements for Rosengarten, Inc., in Table 1, answer the following questions. a) 10 points) Construct Rosengarten
More informationGoogle Inc. CONSOLIDATED BALANCE SHEETS
Google Inc. CONSOLIDATED BALANCE SHEETS (In millions, except share and par value amounts which are reflected in thousands,and par value per share amounts) As of December 31, 2013 As of March 31, 2014 Assets
More informationWeek-2 FINC Analysis of Financial Statements. Balance Sheets
Dr. Ahmed FINC 5000 Week-2 Name Analysis of Financial Statements Balance Sheets Assets 2003 2004 2005e Cash $ 9,000 $ 7,282 $ 14,000 Short-Term Investments. 48,600 20,000 71,632 Accounts Receivable 351,200
More informationACC 501 Quizzes Lecture 1 to 22
ACC501 Business Finance Composed By Faheem Saqib A mega File of MiD Term Solved MCQ For more Help Rep At Faheem_saqib2003@yahoocom Faheemsaqib2003@gmailcom 0334-6034849 ACC 501 Quizzes Lecture 1 to 22
More informationFinancial Analysis. Consolidated financial analysis ( ) Based on IFRS
Financial Analysis Consolidated financial analysis (2012-2014) Based on IFRS 2012 2013 2014 Liability to asset ratio (%) 42.58 57.70 56.68 Long-term fund to PP&E ratio (%) 170.33 182.99 199.33 Current
More informationGuide to Bookkeeping Concepts
Guide to Bookkeeping Concepts Your AccountingCoach PRO membership includes lifetime access to all of our materials. Take a quick tour by visiting www.accountingcoach.com/quicktour. Table of Contents (click
More informationI m going to cover 6 key points about FCF here:
Free Cash Flow Overview When you re valuing a company with a DCF analysis, you need to calculate their Free Cash Flow (FCF) to figure out what they re worth. While Free Cash Flow is simple in theory, in
More informationFinance and Accounting elective / SBWL Controlling Wintersemester 2012/ 2013 Exam Value-based Management Feb. 21, 2013 EXAM
TECHNISCHE UNIVERSITÄT MÜNCHEN Fakultät für Wirtschaftswissenschaften Lehrstuhl für Betriebswirtschaftslehre - Controlling Prof. Dr. Gunther Friedl Finance and Accounting elective / SBWL Controlling Wintersemester
More informationTop 8. Capstone Financial Ratios
Financial Ratio Review Top 8 Plus Capstone Financial Ratios Kenneth EA Wendeln 2012 KEAW v5 Top 8 Key Financial Ratios Profitability Liquidity Return on Owners Equity % Current Ratio # n.nn EPS Earnings
More informationBusiness 2019 Finance I Lakehead University
Business 2019 Finance I Lakehead University Special Exam Part I: Short Answer Questions (20 points) 1. (10 points) Consider the cash flow statements in Table 1. Calculate, for each firm, operating cash
More informationWeek-2. Dr. Ahmed. Strategic Plan
FINC 5880 Dr. Ahmed Week-2 Name Strategic Plan Financial Plan Projected Financial Statements Additional Funds Needed (AFN, EFN, DFN) Internal and External Funding Evaluation and Control Sales Forecast
More informationFin-621 Final term Solved Papers by Fahad Yusha Cell: and
FINALTERM EXAMINATION Spring 2010 FIN621 - Financial Statement Analysis Student Info StudentID: Time: 90 min Marks: 69 Center: ExamDate: Tue, Aug 10, 2010 Question No: 1 After recording the transactions
More informationSmithfield Fixtures, Inc. 1
ABSTRACT 1 Brad Stevenson Bellarmine University David Collins Bellarmine University This short case is designed for use in an undergraduate finance course to help students understand a firm s cash flow
More information1 2. Financial ratios
1 2. Financial ratios Warning 2 Remember that accounting statements are based on book values. We would prefer to make decisions based on market values, but such information may not be easy to obtain, and
More information