Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

33 financial questions, please give the step of calculation. Thanks. QUESTION 1 . Use the informtion below to answer questions 1-11: . Cash A/R Inventory

image text in transcribed

33 financial questions, please give the step of calculation. Thanks.

image text in transcribed QUESTION 1 . Use the informtion below to answer questions 1-11: . Cash A/R Inventory A/P(Short Term) Bonds Payable (long term debt) Common Stock (Outstanding Shares 1,000) Retained Earnings Fixed Assets $20,000.00 $70,000.00 $100,000.00 $160,000.00 $400,000.00 $30,000.00 $180,000.00 $580,000.00 . From the information above, calculate Total Current Assets. It may be more helpful to first create a Balance Sheet from the information provided. . Enter your answer without dollar signs and no commas. Example $150,000 entered as 150000 . . . . 3 points QUESTION 2 . From the information above, calculate Total Current Liabilities. It may be more helpful to first create a Balance Sheet from the information provided. . . Enter your answer without dollar signs and no commas. Example $150,000 entered as 150000 . . . 2 points QUESTION 3 . From the information above, calculate Total Assets. It may be more helpful to first create a Balance Sheet from the information provided. . . Enter your answer without dollar signs and no commas. Example $150,000 entered as 150000 . . . 3 points QUESTION 4 . From the information above, calculate Total Owners Equity. It may be more helpful to first create a Balance Sheet from the information provided. . . Enter your answer without dollar signs and no commas. Example $150,000 entered as 150000 . . . 3 points QUESTION 5 . From the information above, calculate Total Long Term Liabilities. It may be more helpful to first create a Balance Sheet from the information provided. . . Enter your answer without dollar signs and no commas. Example $150,000 entered as 150000 . . . 2 points QUESTION 6 . From the information above, calculate Total Liabilities and Owners Equity. It may be more helpful to first create a Balance Sheet from the information provided. . . Enter your answer without dollar signs and no commas. Example $150,000 entered as 150000 . . . 2 points QUESTION 7 . From the above information, calculate the Current Ratio. . Carry your answer 2 decimal places and round aprropriately. Example 1.3467 entered as 1.35 . . . 2 points QUESTION 8 . Calculate the Quick Ratio. . . Carry your answer 2 decimal places and round aprropriately. Example .3467 entered as .35 . . . 2 points QUESTION 9 . Based on the Current Ratio and Quick Ratio, would you extend credit to this company on a short term basis. Provide your reasoning. I am looking for a short paragraph answer. . . 2 points QUESTION 10 . If the Company's Net Income for the year was $30,000, calculate the Company's Earnings Per Share. . Enter your answer without dollar signs and no commas. Round to the nearest whole number. Example 25.67 entered as 26 . . 2 points Q U E S T I O N 11 . The Company's Ending Retained Earnings was $180,000. If it paid no dividends for the year and had Net Income of $30,000 for the year, what was its beginning Retained Earnings balance? . Enter your answer without dollar signs and no commas. Round to the nearest whole number. Example $100,000 entered as 100000 . . 2 points QUESTION 12 . Use the following tax rates to answer questions 12-15 Also, assume the business has taxable income of $150,000. Taxable Income $ Tax Rate 0- 50,000 15% 50,001 - 75,000 25% 75,001 100,001 - 100,000 335,000 34% 39% . How much tax will this company pay based on the information above. . Enter your answer without dollar signs and no commas. Round to the nearest whole number. Example $50,000.35 entered as 50000 . . 7 points QUESTION 13 . What is the average tax rate paid by the the taxpayer? . Carry the decimal two places and round. 24.877 % would be entered as 24.88 . . . 5 points QUESTION 14 . What is the "Marginal Tax Rate" for this taxpayer at this level of income? . Your answer should have no decimal points. 34% would be entered as 34 . . 5 points QUESTION 15 . At this marginal tax rate, how much additional tax will this taxpayer pay on an additional $10,000 of taxable income? . Enter your answer without dollar signs and no commas. Example $4,000 would be entered as 4000 . . 5 points QUESTION 16 . Below is a partial image from the Balance Sheet of the XYZ Company: . What is the Book Value Per Share based on the information above? . Enter your answer without dollar signs and no commas. Example $70 entered as 70 . . . 5 points QUESTION 17 . If the market price per share $50 for XYZ Company, what is the total value of XYZ Company? . Enter your answer without dollar signs and no commas. Example $70,000 entered as 70000 . . 5 points QUESTION 18 . Use the following information to answer questions 18-31: . . Calculate the following: for 2005 only (You will show your work and put it in the drop box). . . Additional Information at the end of 2005: . Fair Market Value of the Stock $190 per share . Number of Common Shares Outstanding 100,000 . Dividends paid during 2005 - $4 per share . . Calculate the Current Ratio for 2005. . Your answer should be carried to 2 decimal points and rounded. 1.567 would be entered as 1.57 . . . 2 points QUESTION 19 . The ratio appears to show that the company has a healthy current ratio. . Is this statement true or false. . True . False . 2 points QUESTION 20 . What is the Quick Ratio for this company for 2005? . Your answer should be carried to 2 decimal points and rounded. .5678 would be entered as .57 . . . 2 points QUESTION 21 . Calculate the Inventory Turnover in days for 2005. . Carry your answer two decimal points. 103.0899 would be entered as 103.09 . . 2 points QUESTION 22 . This would be a good Inventory Turnover Ratio if this company were selling fresh produce? . Yes No . 2 points QUESTION 23 . Calculate the Average Days Sales for Collecting Receivables. . Carry your answer two decimal points. 33.0899 would be entered as 33.09 . . 2 points QUESTION 24 . If this companies terms were Net 15, we would be very happy with the days sales in receivable number? . Yes No . 2 points QUESTION 25 . Calculate the Debt to Equity Ratio. . . Carry your answer two decimal points. Example .2899 would be entered as .29 . . . 2 points QUESTION 26 . The ratio reflects that the company has used more debt than equity to finance the growth of the company. . Yes No . 2 points QUESTION 27 . Calculate the Profit Margin for the company. . Your answer should be a percentage, have 2 decimal points. Enter 23.56% as 23.56 . . . 2 points QUESTION 28 . Explain this Profit Margin Percentage. What does it mean? . . 2 points QUESTION 29 . Calculate the Earnings Per Share for the company. (Net Income/Oustanding Shares) . . Carry your answer two decimal points. 23.0899 would be entered as 23.09 . . . 2 points QUESTION 30 . Calculate the Price to Earnings Ratio. . Carry your answer two decimal points. 23.0899 would be entered as 23.09 . . 2 points QUESTION 31 . If the industry Price to Earnings ratio is at 15, what could account for the difference from the industry average? 2 points QUESTION 32 . Beginning Retained Earnings $100,000 . Dividends Paid for the Year $20,000 Net Loss for the Year $30,000 . . Based on the information above, the Ending Retained Earnings Balance will be? . Enter your answer without dollar signs and no commas. Example $4,000 would be entered as 4000 . . . 5 points QUESTION 33 . The issue of tax repatriation is a hot issue in regrds to corporate tax policy. Right now, U.S.-based multinationals are not taxed by the U.S. government on what they earn overseas, until they bring that money back to the U.S. Bringing those earnings back to the United States could cost a company up to a 39% tax. While these companies are taxed by foreign governments on their earnings in destinations from Britain to China, keeping the money abroad means the U.S. doesn't collect on the difference between the foreign rates and the almost always higher tax rates that the United States charges. According to a report in March 2014 by Credit Suisse's David Zion, the cumulative earnings parked by S&P 500 companies overseas is over $2 trillion, and there is at least $690 billion in overseas cash. The amounts are now even higher. . The graph below shows the growing amount of earnings parked outside of the US. . . The tax code allows companies to avoid taxes on oversees earnings so that US companies can compete in foreign markets. The US corporate tax rates are clearly higher than imposed elsewhere around the world. While this seemed like a good idea years ago, the impact has created a disincentive for companies to bring dollars back into the US and invest at home. Lower tax rates would certainly give these US companies an incentive to bring dollars back into the US and invest here. Right now, it is not suprising that expansion would take place outside of the United States. . Do you believe that the US Corporate Tax rate is too high? Would it be wise to lower the corporate tax rate for all US companies? Explain your answer. A paragraph should be sufficient

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

A First Course in Quantitative Finance

Authors: Thomas Mazzoni

1st edition

9781108411431, 978-1108419574

More Books

Students also viewed these Finance questions