Fi515 Week 2 Homework

Week 2 Problems (3-1) Days Sales Outstanding Greene Sisters has a DSO of 20 eld. The corpo proportionalityns just daily sales ar $20,000. What is the level of its accounts receivable? Assume there atomic number 18 365 days in a year. DSO = days sales big(p) = receivables / average sales per day = Receivable / (annual sales / 365) 20 = receivables / 20,000 Receivables = 20 * 20,000 Receivables = 400,000 (3-2) Debt proportionality Vigo Vacations has an paleness multiplier of 2.5. The caller-ups assets are financed with round combination of semipermanent debt and parkland justness. What is the companys debt balance? equity Multiplier = 2.5 whence Equity Ratio = 1/EM Equity Ratio = 1/2.5 = 0.40 the formula is: Debt Ratio + Equity Ratio = 1 Therefore Debt Ratio = 1 - Equity Ratio = 1 - 0.40 = 0.60 or 60% (3-3) marketplace/Book Ratio Winston Washers stock expenditure is $75 per character. Winston has $10 one gigabyte thousand in total assets. Its balance sheet shows $1 one thousand thousand in current liabilities, $3 billion in long-term debt, and $6 billion in common equity. It has 800 one thousand thousand shares of common stock outstanding. What is Winstons market/book ratio?

marketplace value per share = $75 common equity = 6,000,000 function of shares outstanding = 800 millions shares Market-to-book ratio = market value per share/(common equity/number of shares outstanding) Market-to-book ratio = $75/(6,000,000/800,000,000) Market-to-book ratio = $75/(6,000,000/800,000,000) market-to-book ratio = $75/7.5 market-to-book ratio = 10 Win ston Washers market-to-book ratio is 10. (3! -4) expenditure/Earnings Ratio A company has an EPS of $1.50, a cash be given per share of $3.00, and a price/cash flow ratio of 8.0. What is its P/E ratio? (3-5) ROE Needham Pharmaceuticals has a profit shore of 3% and an equity multiplier of 2.0. Its sales are $ one light speed million and it has total assets of $50 million. What is its ROE? Intermediate Problems 6-10 (3-6) Du Pont abstract Donaldson & watchword has an ROA of 10%, a 2% profit margin, and a upshot on...If you want to get a full essay, distinguish it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper