Question
11. A. What is the inventory for 2019? B. What is the dividend for 2019? C. What are the standardized values for accounts receivable and
11.
A. What is the inventory for 2019?
B. What is the dividend for 2019?
C. What are the standardized values for accounts receivable and costs in the 2019 common size balance sheet and 2019 common size income statement?
D. Which one of the following is correct about companys common stock?
1.If the company either had seasoned equity offering (SEO) or repurchase in 2019, the company had SEO.
2. If the company either had seasoned equity offering (SEO) or repurchase in 2019, the company repurchased
3. The amount of seasoned equity offering (SEO) is equal to the amount of repurchase in 2019
4. There is not enough information to answer the question
E If the company paid down $71 of the existing debt, how much did the company borrow in 2019?
F. If the company sold $30 worth of fixed assets, how much worth of fixed assets are bought in 2019?
G. Calculate cash flow to creditor in 2019.
H. Calculate additions to NWC if the NWC in 2019 is 317.
I. Calculate market to book ratio and decide whether the company is overvalued or undervalued.
J. Calculate the EPS. If the average analyst forecast for earnings per share is $10, What is more likely to happen to the stock price after the actual EPS announcement? Would it go up or down?
K. Calculate the return on assets. Compared to the industry ratio of 25%, how is this company performing?
48 Current Assets Cash Accounts Receivable Inventory Total Current Assets Fixed Assets Net Plant and Equipment Bahar Corporation 2018 and 2019 Balance Sheets ($ millions) 2018 2019 2018 2019 Current Liabilities $ 34 $ 46 Accounts Payable 54 $ $ 154 $ 142 Notes Payable 198 $ 188 $ 340 Total Current Liabilities $ 252 $ 236 $ 528 Long-term Debt $ 378 $ 327 Owners' Equity $ 2,056 $ 1,999 Common Stock $ 500 $ 480 Retained Earnings $ 1,454 $ 1,509 Total Owner's Equity $ 1,954 $ 1,989 $ 2,584 $ 2,552 Total Liabilities and Equity$ 2,584 $ 2,552 Total Assets $ *** Price 60 ***Shares Outstanding ($ millions) 25 Bahar Corporation Income Statement - 2019 ($ millions) Sales $ 1,935 -Cost of Goods Sold $ 1,212 -Depreciation $ 200 Earnings Before Interest and Taxes (EBIT) $ 523 -Interest Paid $ 123 Taxable income $ 400 -Taxes (20%) $ 80 Net Income $ 320 Dividends $ 265 Additions to Retained Earnings $ 55Step by Step Solution
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