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Financial Ratios

Sacha Lakic, is a designer of exclusive European furniture and accessories.

19. Sacha Lakic, is a designer of exclusive European furniture and accessories. One item he designs, Meuble de Rangement (a storage unit) sells for $1,000 per unit. Below is Mr. Lakic's contribution format income statement for last month: Sales $4,000,000 Less Variable Expenses 2,800,000 Contribution Margin 1,200,000 Less

A company has fixed costs of $900 and a per-unit contribution margin of $3.

A company has fixed costs of $900 and a per-unit contribution margin of $3. Which of the following statements is (are) true? A. Each unit "contributes" $3 toward covering the fixed costs of $900. B. The situation described is not possible and there must be an error. C. Once the break-even point is reached, the company will

Mike's Bike Shop

1) On March 31, 2007, Mike's Bike Shop had outstanding accounts receivable of $17,500. Mike's sales are roughly evenly split between credit and cash sales, with the credit sales collected half in the month after the sale and the remainder 2 months after the sale. Historical and projected sales for the bike shop are given here:

Total asset turnover and new sales figure

Kaleb's Karate Supply had a profit margin of 7 percent, sales of $10 million, and total assests of $6 million. What was total asset turnover? If management set a goal of increasing total asset turnover to 2.25 times, what would the new sales figure need to be, assuming no increase in total assets?

Break Even Analysis - Fit-All Instruments

Good Day, Please assist with the attached question. Regards The trading results of Fit-All Instruments for its 1st year of operations are expected to be as follows: Sales (@ R4 per unit) R 320 000 Less: Material R 120 000 Wages 48 000 Variable Overhead Costs 24 000 Fixed Overhead Costs 50 000 242 000

Ratio Analysis: Westward Corporation

Please see attached. RATIO ANALYSIS The condensed financial statements of Westward Corporation for 2006 are presented below. Westward Corporation Westward Corporation Balance Sheet Income Statement December 31, 2006 For the Year Ended December 31, 2006 Assets Revenues $2,000,000 Current assets Expenses Cash

Financial Ratios

There are five categories of financial ratios. How much has the company borrowed? leverage ratios How liquid is the company? Liquidity ration How productively is the company using its assets? Efficiency ratios How profitable is the company? Profitability ratios How highly is the firm valued by investors? Market ratios

Breakeven Analysis - Mr. Twitty

Problem #1 Mr. Twitty, an emerging rapper, is getting ready to cut his first CD, called "Western Rap." The cost of recording the CD is $5,000.00 but copies are $5.00 apiece. a. If the CDs can be sold for $15.00 each, how many CDs must be sold to break even? I tried to use POM/QM and came up with only 5. I believe that

Analytical procedures-Ratio relationships

State how the ratio in question would compare(greater, equal, or less) to what the ratio should have been had the error or fraud not occurred. The company recorded fictitious sales with credits to sales revenue accts. and debits to A/R. Inventory was reduced, and cost of goods sold was increased for the profitable sales. Is t

Price/Book Ratio

Greene Inc.'s balance sheet shows a stockholders' equity value of $750,500. The firm's earnings per share was $3, resulting in a price/earnings ratio of 12.25. There are 50,000 shares of common stock outstanding. What is the price/book ratio? What does this indicate about how shareholders view Greene Inc.?

Financial Ratios

Please see attachment. Selected Financial Ratios [L03, l04] The financial statements for Castile Products, Inc., an importer of consumer products, are given below: Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash . Accounts receivable, net . Merchandise inventory . Prepaid

Dividend Payout Ratio - Ronaldo Inc.

Ronaldo Inc. has a capital budget of $1,000,000, but it wants to maintain a target capital structure of 60% debt and 40% equity. The company forcasts this year's net income to be $600,000. If the company follows a residual dividend policy, what will its dividend payout ratio?

Quantitative Model

1. Micromedia is having a 2 day seminar in Microsoft Excel. The project fee is $300 per student. The conference room, instructor, assistants and promotion cost $4800. Micromedia rents the computers for its seminars at a cost of $30 per computer per day. a. Develop a model for the total cost to put on the seminar. Let x

C-V-P analysis : key informaiton

Answer all of the following questions. Explain your answer briefly and clearly, showing any necessary calculations. Your answer should be submitted in an Excel file. 1. The County Historical Society and Museum is considering holding a picnic as a fundraiser. They plan to charge $15 per ticket. They can rent a facility at

Financial ratios -mbaprog

Please calculate the following ratios for Lloyd and Emporium for 2000, 2001, & 2002: (see attached) Current ratio Acid-test ratio Days' receivables (based on ending receivables and assuming 100% credit sales) Days' payables (based on ending payables to sales) Inventory turnover Total liabilities/total assets Long-term d

Accounting and Forecasting

Use the annual information found that can be found by looking at attached file to answer this assignment. Calculate the following asset activity ratios for the end of 2005: Average Collection Period Inventory Turnover Total Asset Turnover Please show all work, including formulae and calculations used to arrive at financia

Current Ratio Questions

This posting answers such questions as: What financial information does the current ratio measure? How has the current ratio relate to the other liquidity ratios? Which financial ratios would you use - and how - to determine whether a company will be able to meet its commercial bank loan payments?

Clearwater Company

Please answer the attached questions following the instructions. BE5-1 Compute missing amounts in determining net income. (SO 1) Presented below are the components in Clearwater Company's income statement. Determine the missing amounts. Sales Cost of Goods Sold Gross Profit Operating Expenses Net Income (a) $75,000

Financial Analysis of Nathan's Famous

A. Determine the ratio of net income to net revenue or sales from Nathan's Famous consolidated income statement [attachment]. Do this for all years listed. Do you think the company is becoming more or less efficient? Explain. B. Find the retained earnings column or changes in retained earnings for the most recent year from Na

Break-Even Analysis of Operating Statistics

High School Traditions operates a shop that makes and sells class rings for local high schools. Operating statistics follow: Average selling price per ring $250 Variable costs per ring: Rings and stones $ 90 Sales commissions 18 Variable overhead 8 Annual fixed cost:

Ratio Analysis and Statement of Cash Flows

Target vs. WalMart summary comparing the companies two most recent fiscal years based upon based upon the following: Risk Management Select and calculate 3 financial ratios from Chapter 17 in Fundamentals of Corporate Finance, by Brealey for both fiscal years addressing the above topics. Finally, evaluate the annual and yea

Financial analysis of Amgen

Note sure how to "compute the change (negative or positive) in diluted earnings". Please look at problem and explain thank you in advance. Please look at excel for easier formatting reading. Only thing I got is the two formulas for Return on assets and Return on equity otherwise I'm pretty much stuck with the questions in the pr

Two strategies JTI could use to help assure profitable operations

Advise JTI 's executives on ways to control costs if a scenario evolves such as the previous #4 regarding variable cost increase for luggage production. Explain one or two strategies JTI could use to help assure profitable operations in light of increases in variable cost. Draw on your own experience, if relevant, giving an il

Attached is a MS Excel spreadsheet containing financial ratios for Apple, Inc., explanations for the ratios used, as well as an operational analysis of the firm. I have also attached reference sources which you might find useful.Company: Apple

Comprehensive Financial Analysis Part I Paper Select a publicly traded organization. You may also visit the organization's website and review its annual and 10-K reports. Based on your findings, prepare a paper in which you evaluate the performance of your selected organization using financial ratios. Be sure to address the fo

Favorable Profit Ratio

How would combining two companies with differing profit ratios effect the new average profitability? Would this be favorable?

Marginal Cost and Revenue

If tr=600q-120q(squared) and tc = 80+160q-10q(squared), where q= quantity, tr = total revenue, and tc = total cost, find the profit maximising quantity at which marginal revenue (mr) equals marginal cost (mc) A company estimates that its total cost function is given by tc=16000+60q and its total revenue function is tr=80q. Wh

Calculating Key Financial Metrics/Ratios

Use the information contained in your selected organization's balance sheet and income statement to calculate the following ratios: 2) Profitability ratios a) Asset turnover b) Profit margin c) Return on assets d) Return on common stockholders' equity The organization balance sheet and in