Paper Writing Services total value of the firm, an investor identified a similar firm in Jacob’s Inc., an all –equity firm. Ts firm had 150
Abstract |
---|
Coverage ratios, like times interest earned and cash coverage ratio, allow Afirm’s management to assess how well they meet short-term liabilities. A firm’s shareholders to assess how well the firm will meet its short-term liabilities. A firm’s creditors to assess how well the firm will meet its short-term liabilities other than interest expense. A firm’s creditors to assess |
Fin/ 571 quiz 2 1- Wch one of the following statements about trend analysis is NOT correct? Sole proprietorsp All of these are true statements. The standard industrial classification (SIC) system is used to identify benchmark firms. Ts benchmark is based on a firm’s storical performance. It allows management to examine each ratio over time and determine whether the trend is good or bad for the firm. 2- Coverage ratios: sectors, Inc., has an EBIT of $7,221,643 and interest expense of $611,800. Its depreciation for the year is $1,434,500. What is its coverage ratio? 14.5 times 15.42 times None of these 18.34 times 3- Multiples analysis: turner corp. had debt of $230 million and generated a net income of $ 121 million in the last fiscal year. In attempting to determine the total value of the firm, an investor identified a similar firm in Jacob’s Inc., an all –equity firm. Ts firm had 150 million shares outstanding, a share price of $14.25, and net income of $182 million. What is the total value of Turner Corp? Round to the nearest million dollars $1,421 million $1,715 million $1,191 million $1,651 million 4- Coverage ratios, like times interest earned and cash coverage ratio, allow Afirm’s management to assess how well they meet short-term liabilities. A firm’s shareholders to assess how well the firm will meet its short-term liabilities. A firm’s creditors to assess how well the firm will meet its short-term liabilities other than interest expense. A firm’s creditors to assess how well the firm will meet its interest obligations. 5- Peer group analysis can be performed by Management choosing a set of firms that are similar in size or sales, or who compete in the same market. Using the average ratios of ts peer group wch would then be used as the benchmark. Identifying firms in the same industry that are grouped by size, sales, and product lines, in order to establish benchmark ratios. Only a and b relate to peer group analysis. 6- Efficiency ratio: If Viera, Inc., has an accounts receivable turnover of 3.9 times and net sales of $ 3,436,812, what is its level of receivables? $ 81,234 $ 881,234 $ 13,403,567 $1,340,357
Sample references |
---|
|
Need your ASSIGNMENT done? Use our paper writing service to score better and meet your deadline.
Click Here to Make an Order Click Here to Hire a Writer