Answer Market value per share =$75 Common equity= 6,000,000 Number of share outstanding You must Login to view the entire essay. If you are not a member yet, Sign Up for free! =800,000,000 Market to book ration = $75/(6,000,000/800,000,000) 6,000,000/800,000,000=.75 Market to book ration= 75/.75= 100 3-4 Price/Earnings Ratio A company has an EPS of $1.50, a cash flow per share of $3.00, and a price/cash flow 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 ROE Needham Pharmaceuticals has a profit margin of 3% and an equity multiplier of 2.0.
Answer AR= 20x20000=400,000 3-2 Debt Ratio Vigo Vacations has an equity multiplier of 2.5. The company’s assets are financed with some combination of long-term debt and common equity. What is the company’s debt ratio? Answer Equity multiplier Asset /equity = 2.5/1 A=L+E 2.5=1.5=+1 Debt/asset = 1.5/2.5 = .6 3-3 Market/Book Ratio Winston Washers’s stock price is $75 per share. Winston has $10 billion in total as- sets.
• debit to Allowance for Doubtful Accounts for $3,300. Multiple Choice Question 182 The financial statements of the Melton Manufacturing Company reports net sales of $300,000 and accounts receivable of $50,000 and $30,000 at the beginning of the year and end of year, respectively. What is the average collection period for accounts receivable in days? • 60.8 • 96.1 • 36.5 • 48.7 Find the final exam answers here ACC 291 Final Exam Answers Multiple Choice Question 119 Stine Company purchased machinery with a list price of $64,000. They were given a 10% discount by the manufacturer.
The main ethical issue seems to be related to the last paragraph and whether or not the board of directors can use their position on the board of the Energy Cooperative for personal gains by stating "I am calling as director of the Energy Cooperative" -the board of directors are self-employed consultants with no allegiance (duty) to any particular company. Therefore, the ethical issue is: Is this a conflict of interest, where the board of directors would be using their positions for personal gains? Or, since they have signed a statement to the effect that they have no duty to any particular company, does this negate the conflict of interest? In other words, the members of the broad directors would be using their position to gain new clients if when calling their personal potential clients, they would be able to state,"
(5) QUESTION 5 • The process to convert a public company is not provided for in terms of the terms the Companies Act 2008. • The Company must amend its MOI to include the specific criteria which will qualify it as a private company, namely it prohibits it from offering its securities to the public and restricts the transferability of its securities; • The company’s name must be amended as provided for in terms of the Companies Act; • The company has to amend it’s name by altering the suffix of the name to reflect the category of profit company which it will now fall under, namely from “Ltd” to “(Pty) Ltd”; • This is effected by completion and lodging of the appropriate form, namely CoR 9.1 form. (5) TOTAL MARKS
Jackson and his loyalists felt that the government should take a hands off approach to the economy and not award special favors to entrenched economic interests. Jackson was opposed to the Bank. He considered re-chartering the Bank but only if the powers were
Hannah Williams ACCT 411: 001 Professor Manyara Research Project 05/09/2016 Research Questions Chapter 1: Non-Controlling Interest a) Protective non-controlling rights are provisions (by law or contract) that allow the noncontrolling (minority) shareholders to block corporate actions that may suppress their rights. b) Substantive participating rights allow the noncontrolling shareholder to participate in determining certain financial and operating decisions in the ordinary course of business. c) Substantive participating rights overcome the presumption that all majority-owned investees should be consolidated. d) Zee should consider the following issues when determining whether it should consolidate Bee or report its investment in Bee under
Another part of this concept is no government interference. In this case, the government was the bank. Being allowed to dictate what the players decided to buy or sell was one thing that the bank could not do. Also, the business partners must accept the consequences of their decisions. If they go bankrupt, or fail to make money off their property, the government, or the bank, will not help out.
Not reporting the death and injury tool to the government by Firestone iii. Recalling Ford Explorers in foreign countries without letting the US government know about it iv. Ford memo about Firestone being reluctant to recall some
The Traditional Values Coalition feels that the government is asking a business to contribute. While a business itself cannot physically be involved in moral or religious decisions, its founders and executives can be. The argument is not one of religion but on what constitutes the separation of a business from a person’s own beliefs. If you founded the company and built it from nothing does that mean you have the sole responsibility to decide what your company will or will not do based on how you think? This leads to another question, which is at what point does a company surpass its founders belief system?