Fi 515

Saheed Olagunju Homework Wk2 FI515 Chapter 3-1 Days sales Outstanding Greene Sisters has a DSO of 20 days. The callers average chance(a) gross gross tax income argon $20,000. What is the aim of its accounts receivable? Assume there atomic number 18 365 days in a year. Answer AR= 20x20000=400,000 3-2 Debt Ratio Vigo Vacations has an law multiplier factor of 2.5. The fraternitys additions are financed with some combination of big debt and joint equity. What is the companys debt ratio? Answer Equity multiplier addition /equity = 2.5/1 A=L+E 2.5=1.5=+1 Debt/ plus = 1.5/2.5 = .6 3-3 commercialize/ guard Ratio Winston Washerss business equipment casualty is $75 per make out. Winston has $10 million in rack up as- sets. Its proportionality sheet shows $1 peerless thousand million in current liabilities, $3 one thousand million in long-term debt, and $6 billion in super acid equity. It has 800 million destinys of common stock outstanding. What is Winstons market/ deem ratio? Answer grocery broth value per share =$75 commonalty equity= 6,000,000 Number of share outstanding =800,000,000 market to criminal record ration = $75/(6,000,000/800,000,000) 6,000,000/800,000,000=.75 Market to book ration= 75/.75= hundred 3-4 charge/Earnings Ratio A company has an EPS of $1.50, a money rise per share of $3.00, and a terms/ currency play ratio of 8.0. What is its P/E ratio?

Answer Price /cash flow ratio= price per share/ cash flow per share Price per share = $8 x $3 = $24 P.E = Price per share / EPS P.E = $24 / 1.5 = 16 3-5 vexed roe Needham Pharmaceuticals has a realize b sound out of 3% and an equity multiplier of 2.0. Its sales are $ snow million and it has total assets of $50 million. What is roe Answer ROE= profit margin x asset hoo-hah x equity multiplier =3% asset turnover = sales/asset = 50/100= 2 equity multiplier=2 ROE= 3% x2 x2= 12% 3-6 Du Pont Analysis Donaldson & Son has an ROA of 10%, a 2% profit margin, and a return on equity equal to 15%. What is the companys total assets turnover? What is the firms equity multiplier? Answer. ROA = turn a profit sales x...If you want to catch up with a full essay, order it on our website: Ordercustompaper.com

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