Calculate working capital and current ratio Firm Q has short-term debt of $14,000, land of $85,000, merchandise inventory of $31,000, cash of $9,000, property, plant, an

1. Calculate working capital and current ratio Firm Q has short-term debt of $14,000, land of $85,000, merchandise inventory of $31,000, cash of $9,000, property, plant, and equipment of $330,000, accounts payable of $16,000, long-term debt of $60,000, accounts receivable of 17,000, common stock of $300,000, and retained earnings of $82,000.

Required:

Calculate Firm Q’s working capital and current ratio.

2.Compare investment alternatives Your friend has two investment opportunities that she is considering and has asked for your advice regarding how she should proceed. One will have an 9% rate of return on an investment of $12,000; the other will have a 12% rate of return on an investment of $15,000. She would like to take advantage of the higher-yielding investment but has only $12,000 available.

Required:

What is the maximum rate of interest that your friend should be willing to pay to borrow the $3,000 needed to take advantage of the higher yield?

3.ROI analysis using the DuPont model

a. Firm A has a margin of 7%, sales of $980,000, and ROI of 19.6%. Calculate the firm’s average total assets.

b. Firm B has net income of $259,200, turnover of 0.9, and average total assets of $1,800,000. Calculate the firm’s sales, margin, and ROI. Round your percentage answer to one decimal place.

c. Firm C has net income of $45,360, turnover of 1.4, and ROI of 12.6%. Calculate the firm’s margin, sales, and average total assets. Round your percentage answer to one decimal place.

4.ROI analysis using the DuPont model

a. Firm D has net income of $54,000, sales of $1,200,000, and average total assets of $750,000. Calculate the firm’s margin, turnover, and ROI.

b. Firm E has net income of $132,000, sales of $2,200,000, and ROI of 9.6%. Calculate the firm’s turnover and average total assets.

c. Firm F has ROI of 12%, average total assets of $1,500,000, and turnover of 0.8. Calculate the firm’s sales, margin, and net income. Round your answers to the nearest whole numbers.

5.Calculate ROE At the beginning of the year, the net assets of Shannon Co. were $492,600. The only transactions affecting stockholders’ equity during the year were net income of $70,200 and dividends of $15,400.

Required:

Calculate Shannon Co.’s return on equity (ROE) for the year. Round your percentage answer to one decimal place.

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more