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Balance Sheet Currency in JPY. All numbers in thousands Period Ending 3/31/2017 3/31/2016 3/31/2015 Current Assets Cash And Cash Equivalents 26,879,000 26,153,000 19,050,000 Short Term
Balance Sheet | |||
Currency in JPY. All numbers in thousands | |||
Period Ending | 3/31/2017 | 3/31/2016 | 3/31/2015 |
Current Assets | |||
Cash And Cash Equivalents | 26,879,000 | 26,153,000 | 19,050,000 |
Short Term Investments | 26,063,000 | 22,629,000 | 24,444,000 |
Net Receivables | 78,520,000 | 83,027,000 | 81,530,000 |
Inventory | 21,436,000 | 18,342,000 | 17,825,000 |
Other Current Assets | 7,146,000 | 11,863,000 | 6,716,000 |
Total Current Assets | 160,044,000 | 162,014,000 | 149,563,000 |
Long Term Investments | 175,563,000 | 166,799,000 | 163,197,000 |
Property Plant and Equipment | 91,511,000 | 86,662,000 | 77,513,000 |
Goodwill | - | - | - |
Intangible Assets | - | - | - |
Accumulated Amortization | - | - | - |
Other Assets | 10,378,000 | 6,497,000 | 7,725,000 |
Deferred Long Term Asset Charges | - | - | - |
Total Assets | 437,496,000 | 421,972,000 | 397,997,000 |
Current Liabilities | |||
Accounts Payable | 53,197,000 | 48,570,000 | 45,262,000 |
Short/Current Long Term Debt | 91,368,000 | 85,069,000 | 82,356,000 |
Other Current Liabilities | 10,860,000 | 9,824,000 | 9,397,000 |
Total Current Liabilities | 155,425,000 | 143,462,000 | 137,015,000 |
Long Term Debt | 88,949,000 | 86,944,000 | 83,505,000 |
Other Liabilities | 12,805,000 | 12,427,000 | 11,158,000 |
Deferred Long Term Liability Charges | 12,777,000 | 18,204,000 | 19,166,000 |
Minority Interest | 5,997,000 | 7,665,000 | 7,164,000 |
Negative Goodwill | - | - | - |
Total Liabilities | 275,953,000 | 268,703,000 | 258,008,000 |
Stockholders' Equity | |||
Misc. Stocks Options Warrants | 4,360,000 | 4,269,000 | - |
Redeemable Preferred Stock | - | - | - |
Preferred Stock | - | - | - |
Common Stock | 3,563,000 | 3,533,000 | 3,311,000 |
Retained Earnings | 157,956,000 | 149,422,000 | 130,014,000 |
Treasury Stock | -14,433,000 | -14,265,000 | -10,219,000 |
Capital Surplus | 4,344,000 | 4,877,000 | 4,562,000 |
Other Stockholder Equity | 5,752,000 | 5,434,000 | 12,321,000 |
Total Stockholder Equity | 157,182,000 | 149,001,000 | 139,989,000 |
Net Tangible Assets | 157,182,000 | 149,001,000 | 139,989,000 |
Income Statement | |||
Currency in JPY. All numbers in thousands | |||
Revenue | 3/31/2017 | 3/31/2016 | 3/31/2015 |
Total Revenue | 247,664,000 | 252,708,000 | 227,096,000 |
Cost of Revenue | 204,023,000 | 201,125,000 | 182,128,000 |
Gross Profit | 43,640,000 | 51,583,000 | 44,968,000 |
Operating Expenses | |||
Research Development | - | - | - |
Selling General and Administrative | 25,742,000 | 26,191,000 | 22,033,000 |
Non Recurring | - | - | - |
Others | - | - | - |
Total Operating Expenses | - | - | - |
Operating Income or Loss | 17,898,000 | 25,392,000 | 22,936,000 |
Income from Continuing Operations | |||
Total Other Income/Expenses Net | 2,054,000 | 1,466,000 | 1,377,000 |
Earnings Before Interest and Taxes | 19,951,000 | 26,859,000 | 24,313,000 |
Interest Expense | 263,000 | 315,000 | 191,000 |
Income Before Tax | 19,688,000 | 26,544,000 | 24,122,000 |
Income Tax Expense | 5,644,000 | 7,814,000 | 7,450,000 |
Minority Interest | 5,997,000 | 7,665,000 | 7,164,000 |
Net Income From Continuing Ops | 16,433,000 | 20,576,000 | 18,122,000 |
Non-recurring Events | |||
Discontinued Operations | - | - | - |
Extraordinary Items | - | - | - |
Effect Of Accounting Changes | - | - | - |
Other Items | - | - | - |
Net Income | |||
Net Income | 16,433,000 | 20,576,000 | 18,122,000 |
Preferred Stock And Other Adjustments | - | - | - |
Net Income Applicable To Common Shares | 16,433,000 | 20,576,000 | 18,122,000 |
Cash Flow | |||
Currency in JPY. All numbers in thousands | |||
Period Ending | 3/31/2017 | 3/31/2016 | 3/31/2015 |
Net Income | 16,433,000 | 20,576,000 | 18,122,000 |
Operating Activities, Cash Flows Provided By or Used In | |||
Depreciation | 14,457,000 | 14,465,000 | 11,750,000 |
Adjustments To Net Income | -2,295,000 | -760,000 | -1,880,000 |
Changes In Accounts Receivables | -2,376,000 | -224,000 | -579,000 |
Changes In Liabilities | 4,532,000 | 4,304,000 | 3,321,000 |
Changes In Inventories | -2,211,000 | -613,000 | -1,426,000 |
Changes In Other Operating Activities | 1,240,000 | 860,000 | 303,000 |
Total Cash Flow From Operating Activities | 30,640,000 | 39,689,000 | 30,734,000 |
Investing Activities, Cash Flows Provided By or Used In | |||
Capital Expenditures | -10,983,000 | -11,411,000 | -9,559,000 |
Investments | -16,040,000 | -17,279,000 | -22,587,000 |
Other Cash flows from Investing Activities | 370,000 | 375,000 | 346,000 |
Total Cash Flows From Investing Activities | -26,653,000 | -28,316,000 | -31,799,000 |
Financing Activities, Cash Flows Provided By or Used In | |||
Dividends Paid | -6,301,000 | -6,932,000 | -5,205,000 |
Sale Purchase of Stock | -6,318,000 | -2,698,000 | -2,900,000 |
Net Borrowings | 9,252,000 | 5,861,000 | 10,657,000 |
Other Cash Flows from Financing Activities | - | - | - |
Total Cash Flows From Financing Activities | -3,367,000 | -3,769,000 | 2,552,000 |
Effect Of Exchange Rate Changes | -121,000 | -1,778,000 | 543,000 |
Change In Cash and Cash Equivalents | 499,000 | 5,827,000 | 2,029,000 |
Task 1: Financial Planning and Growth | |||||||||
Suppose, you were hired by YOUR COMPANY, to assist the company with its financial planning and to evaluate the companys performance. Your supervisor (Yahoo Finance) provides you with the most recent three years of income statements and balance sheets of YOUR COMPANY. Assume that you company pays out one-third (1/3rd) of its net income as dividends. Ignore the change in retained earnings to reconcile this assumed dividend payment. | |||||||||
Questions: | |||||||||
1. Calculate the internal growth rate and sustainable growth rate for YOUR COMPANY? | |||||||||
2. Sales for 2018 are projected to grow by 15 percent. Interest expense and depreciation expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. If the firm is operating at full capacity (100%) and no new debt or equity is issued, what is the external financing needed (EFN) to support the 15 percent sales growth? | |||||||||
3. Suppose YOUR COMPANY was operating at only 90% capacity in 2017 (Hint: Construct a two-way data table). | |||||||||
a. What would be the EFN to achieve 20 percent growth? | |||||||||
b. What would be the EFN to achieve 30 percent growth? |
|
Questions: | |||||||||
1. If you start saving today, how long will it be (in months and years, approximately) before you can buy a house? | |||||||||
2. Suppose you have a trust fund that will dispense $10,000 to you when you graduate in 2 years. If you keep saving (as planned in question 4, i.e. hold time constant), how much will your have to put down on your house? If this amount represents 10% of the cost of the house, what is the most you can spend on a house? | |||||||||
3. Suppose, alternatively, that YOUR COMPANY will match up to $3,600 per year for a retirement account every year as part of the company's profit-sharing plan. Instead of saving $500 per month to be able to buy a house, you maximize the matching retirement plan contribution. How much can you now save for a down payment each month, and how long will it be before you can afford to put $20,000 as a down payment, assuming the $10,000 trust distribution in 2 years? |
Task 3: Bond Valuation | |||||||||
YOUR COMPANY, has three bonds outstanding in the market -- bonds X, Y and Z -- all of which pay semi-annually (twice per year). Bond X has a 7 percent coupon, Bond Y has a 9 percent coupon and Bond Z has an 11 percent coupon. Use the interest expense on the income statement and compare it to the total amount of Long Term Debt that YOUR COMPANY has outstanding to find the average interest rate. Bond X has 5 years to maturity, Bond Y has 10 years to maturity and Bond Z has a 20 year maturity. | |||||||||
Questions: | |||||||||
1. What is the average interest rate of YOUR COMPANY? | |||||||||
2. If each bond has a face value of $1 million, what is the current value of these three bonds? (5 points) | |||||||||
3. If interest rates suddenly rise by 2 percent, what is the percentage change in the price of the three bonds? | |||||||||
4. If rates were to suddenly fall by 2 percent instead, what would be the percentage change in the price of the two bonds? | |||||||||
5. Illustrate your answers by graphing bond prices against YTM. | |||||||||
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