A firm reported $250 million in total assets and $140 in debt. It had no interest-bearing securities
Question:
A firm reported $250 million in total assets and $140 in debt. It had no interest-bearing securities among its assets. In the income statement it reported $560 million in sales. The firm’s 80 million shares traded at $7 each. Calculate
a. The price-to-book ratio (P/B)
b. The unlevered price-to-sales ratio (P/S)
c. The enterprise price-to-book ratio
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 66% (15 reviews)
Market price of equity 80 7 560 million Market value of deb...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Accounting questions
-
Charter Enterprises currently has $1 million in total assets and is totally equity financed. It is contemplating a change in its capital structure. Compute the amount of debt and equity that would be...
-
Viella Now Company had $400,000 in total assets and $105,000 in operating profit this year, and the company requires at least a 11% return on assets. Compute Viella Nows residual income.
-
For a firm with $3 million in total assets, $400,000 in net income, and $150,000 in dividend payments, first calculate the maximum rate of growth in sales without tapping external sources of funds....
-
10. A light cord is wrapped around a wheel, R = 0.10 m and rotational inertia I about its axis and is attached to mass, m = 2 kg, see about its fixed axis and the object accelerates downward, (take g...
-
On April 16, 2012, Adam and Renee Tyler jointly filed a 2011 return that reported AGI of $68,240 ($20,500 attributable to Renee) and a tax liability of $3,050. They paid this amount in a timely...
-
n = 18, p = 0.90, q = 0.10 The sample size n, probability of success p, and probability of failure q are given for a binomial experiment. Determine whether you can use a normal distribution to...
-
The valuation of unlisted shares is highly subjective, especially when the object is to fix a fair price for acquisition by the company or by the owner's fellow-shareholders. You are required (a) to...
-
Rolex Company was involved in the following treasury stock transactions during 2014: a. Purchased 80,000 shares of its $1 par value common stock on the market for $2.50 per share. b. Purchased 16,000...
-
On January 2, 2005, Riley Corporation issued 20,000 shares of 6% cumulative preferred stock at $100 par value. On December 31, 2008, Riley Corporation declared and paid its first dividend. What...
-
A maker of a certain brand of low-fat cereal bars claims that their average saturated fat content is 0.5 gram. In a random sample of 8 cereal bars of this brand the saturated fat content was 0.6....
-
A firm with 100 million shares outstanding repurchased 10 million shares at the market price of $20 per share. What is the total market value of the equity after the repurchase? What is the per-share...
-
a. A firm issues a zero-coupon bond with a face value of $1,000, maturing in five years. Bonds with similar risk are currently yielding 5 percent per year. What is the value of the bond? b. A firm...
-
A healthy adaptive immune system can raise antibodies that recognize and bind with high affinity to almost any stable molecule. The molecule to which an antibody binds is known as "antigen."...
-
Develop a contingency plan by answering the question below. The company we are doing this project on is: "The Kitchen Council" Overview of the organization: https://kitchencouncil.org/Links to an...
-
Given that values is of type LLNode and references a linked list (possibly empty) of Integer objects, what does the following code do if invoked as mystery (values)? int mystery (LLNode list) { if...
-
Nick's Enchiladas has preferred stock outstanding that pays a dividend of $3 at the end of each year. The preferred sells for $55 a share. What is the stock's required rate of return (assume the...
-
write me an essay in pages CASH vs CREDIT CARD ( comparison and Contrast essay )
-
What is the main issue or strategic challenge that Sandland's is facing at the end of the case? Based on your external and internal analysis what changes would you recommend that Sandland makes to...
-
The Fourier series of a periodic function, \(x(t)\), is an infinite series given by where \(\omega\) is the circular frequency and \(2 \pi / \omega\) is the time period. Instead of including the...
-
You are a U.S. investor who purchased British securities for 2,000 one year ago when the British pound cost U.S. $1.50. What is your total return (based on U.S. dollars) if the value of the...
-
The half-life of uranium-235, the major radioactive component of naturally occurring uranium, is 7.04 10 8 years. (a) What is the rate constant for the radioactive decay of uranium-235, in y -1 and...
-
Q1 McDonalds is the worlds (________ / #2) restaurant chain when measured by (________/ # of units) and has more than 32,000 restaurants in more than 120 countries. Q2. In regard to assets, this...
-
Q1. Analyze the financial attributes of the four corporations on the previous page by placing an X in the box when the company has the characteristics noted below. Q2. Use the descriptions below to...
-
Q1. How many accounts listed are Current Assets? (1 / 3 / ______) Property, Plant, and Equipment? (______ / 3 / 5) Goodwill and Intangibles? (______ / 3 / 5) Other Assets? (1 / 2 / 5) Q2. What is the...
-
The following information relates to Ivanhoe Limited's Cash account. The reconciled cash balance from June's bank reconciliation is $ 2 0 , 5 9 0 . During the month of July, Ivanhoe recorded cash...
-
e take the time you need to complete this test, and read each question careminy 2 pts Question 4 0 The county collects taxes on behalf of the county, city, and a special purpose district. For 2 0 2 4...
-
Houghton Limited is trying to determine the value of its ending inventory as of February 2 8 , 2 0 2 7 , the company's year - end. The following transactions occurred, and the accountant asked your...
Study smarter with the SolutionInn App