Share
Explore BrainMass

Financial Ratios

Draw a breakeven chart for this firm

Consider the following income statement and answer the questions that follow. Sales (100 units) $200 Variable cost ($.80 each) $80 Fixed Costs $20 Draw a breakeven chart for this firm.

Financial Statement Ratios between Wal-Mart and Kmart

Provide the chief executive officer a comprehensive comparison between Wal-Mart and Kmart using their two latest fiscal year financial statements to highlight the following three ratios: profitability, management efficiency and leverage. Evaluate the annual and year-to-year results to interpret where the takeover target compares

Summary/Conclusion/Recommendation the Company Financial

See the attached file. Hershey Liquid 2008: current ratio = current assets/current liability = 1,344,945 /1270212 = 1.0588 Quick ratio = (Current assets - inventory)/Current liability = (1,344,945 - 592,530)/1270212 = 0.592 Hershey Liquid 2009: current ratio = current assets/current liability = 1,385,434 / 910,628 = 1.52

Market value ratio

Hershey Market value ratios 2008 Market Price of common stock at year-end 2008 = 34.74 2008 Earning per share = 1.36 PE(price/earning) = Market price per share/earning per share = 34.74/1.36 = 21.31 Book value per share = stockholder's equity/# of share outstanding = 318,199/227,035 =1.401 Market to book ratio = M

Ratios

tell us how the ratios discussed this week could be used to evaluate a company of your choice. use finance.yahoo.com for additional information. ratios discussed: current ratio, acid test ratio, liquidity and efficiency ratio, debt ratio, equity ratio, debt-to-equity ratio, profitability ratio, price earnings ratio

Comparing and Contrasting Ratios

Please submit a 3 page word document in APA format with references comparing and contrasting the company ratios (See table 1.1) to one another and the industry. Make a determination of which company is in a better financial situation as part of your conclusion. Also discuss how each company compares to the industry averages.

Perform a financial analysis for Southwest Airlines by using financial ratios. Compute Southwest Airlines' free cash flow for the most recent year. Determine the Southwest Airlines' cost of capital. Determine Southwest Airlines Market Value Added and Economic Value Added. Interpret the computations.

Perform a financial analysis for Southwest Airlines by using financial ratios. Compute Southwest Airlines' free cash flow for the most recent year. Determine the Southwest Airlines' cost of capital. Determine Southwest Airlines Market Value Added and Economic Value Added. Interpret the computations.

Accounting: Ratios for Amazon.com

Please help calculate Amazon.com's actual ratios and evaluate financial performance for 2010 and 2009 (please see list below) using the balance sheet and income statement. Then compare and discuss how these trends may impact the financial condition of each company. What do ratio results mean to management (e.g. a current ratio

Finding Fixed Costs and Variable Costs

For each process the following fixed costs and variable costs are identified below: Anchor and Process Process A Process B Sale price per anchor $ 42.00 $ 42.00 Total Fixed cost $ 650,000.00 $950,000.00 Variable cost per anchor $ 36.00

MedCo Billing Services subsidiary of Medical Insurance Company

See attached case file. Questions to Guide the Analysis 1. "Revenue hours" is the key activity that drives costs at MedCo Billing Services. Which expenses in Exhibit 2 are variable with respect to revenue hours? Which expenses are fixed with respect to revenue hours? Explain why each expense was chosen as such. 2. F

Return on Investment/Ratio Dell

Using the attached Dell financial data attached explain why Dell is a good or bad investment based on the ratios and other investment information. Please see the attached file for the complete problem description.

Problem 5-6 Inventory Turnover for Apple Computer and Hewlett-Packard

Problem 5-6 Inventory Turnover for Apple Computer and Hewlett-Packard The following information was summarized from the 2006 annual report of apple computer, inc.: Cost of sales for the year ended: (in millions) September 30, 2006 $13,717 September 24, 2005 $ 9,989 Inventories: September 30,

Financial Statement Analysis

Donna Jamison was brought in as assistant to Fred Campo, Computron's chairman, who had the task of getting the company back into a sound financial position. Computron's 2009 and 2010 balance sheets and income statements, together with projections for 2011, are shown in the tables. The 2009 and 2010 financial ratios are al

Computing break-even point

Tanner Company's most recent contribution format income statement is presented below: Sales $75,000; Variable expenses $45,000; contribution margin $30,000; fixed expenses $36,000; net operating loss $(6,000). The company sells its only product for $15 per unit. There were no beginning or ending inventories. Required: a)

TCB financial reviewed by lending bank: Issues with current ratio

Upon reviewing the audited statements submitted by TCB, the lending bank noted that the current ratio for the company of 4:1 is too high. Please explain the bank's remark to the exasperated management. What is the industry standard for current ratio? Is high current ratio healthy?

Finanical Problem

See attachments Calculate 7 ratios for two years for each category. Show the ratios in a table similar to this one below: DEER PARK FINANCIAL RATIOS 20XX 20XX Solvency Ratios Solvency Ratio 1 0.60 0.51 Solvency Ratio 2 0.38 0.24 Liquidity Ratios Liqui

Break even calculations and financial ratios

Please help with the following calculations. ' 1) If the sales price per unit is $100, the unit variable cost is $75 and total fixed cost are $150,000 then the break even volume in dollar sales is? 2) Company produce dolls. Each doll sells for $20.00. Variable cost is per unit total is $14.00 of which is direct material and

Fixed and Variable Costs for specialty widgets; breakeven point

You have just become product manager for a line of specialty widgets. Your Fixed Costs (FC) for running your plant are $250,000 a month. This includes salaries, insurance, rent, amortized capitalization of equipment, etc. Your Variable Costs (VC) per unit will, of course, vary. You have looked at your hourly salaries, your

Produces Large Quantities of a Standardized Product

PROBLEM 20-3A Crystal Company produces large quantities of a standardized product. The following information is available for its production activities for March: Raw materials Beginning inventory $ 26,000 Raw materials purchased (on credit) 255,000 Direct materials used (172,000) Indirect materials used (81,000) En

Operating leverage problem with Bozeman Co. and Billings Co.

Operating leverage problem with Bozeman Co. and Billings Co. Reference Text below: Can you indicate what applies to my ques above (if you can) Any explanation or guidance much appreciated. Cost Structure and Operating Leverage Cost structure refers to the relative proportion of fixed versus variable costs

Operating Leverage and Break Even Point

Exercises EXERCISE 4-1. Operating Leverage [LO 5] John Diaz owns Pacific Electric, a large electrical contracting firm that provides services to building construction projects. The company has 2,000 employees and operates in three western states. Recently the company experienced large losses due to a downturn in the economy and

Accounting

3. Espinola Corporation's most recent balance sheet and income statement appear below: BALANCE SHEETS 2006 2005 ASSETS Cash & equivalents $320,000 $180,000 Accounta receivable 220,000 240,000 Inventory 140,000 130,000 Prepaid expenses 20,000 20,000 Total current assets 700,000 570,000

Ratios for Garney Company for 2010

The financial information below was taken from the annual financial statements of Garney Company: 2010 2009 Current assets $192,000 $212,000 Current liabilities 80,000

Questions About Financial Ratios

Financial ratios are important to the understanding of the financial health of a company. You and your colleagues work for a financial services firm. You are discussing the merits of the various financial ratios. Identify 4 financial ratios, and state what they tell you about a firm and why it's important to understand what thes

Financial Analysis: Boeing Raytheon Lockheed Martin

Create common size statements for Boeing, Raytheon and Lockheed Martin for 2007, 2008 and 2009. Prepare a financial analysis, computing all the classic ratios (see list below). Prepare an executive summary with overall assessment. Characterize the strength of the company, along with the level of risk assumed. Discussio