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can some one tell me how to do these questions, not only the answer Calculate the ROE using the DuPont Model (strategic profit model) for
can some one tell me how to do these questions, not only the answer
Calculate the ROE using the DuPont Model (strategic profit model) for a company with the fol lowing data:, Profit margin = 15% Total Asset Turnover = 2.0 Inventory Turnover = 1.2 Equity Multiplier = 0.8 Current Ratio = 1.7 A) 24% B) 18% C) 36% D) 51% E) 6% Which of the following is TRUE regarding Company 123 given the following information? Current Assets = $250 Fixed Assets = $130 Current Liabilities = $160 Long Term Debt = $120 Revenue = $530 Net Income = $70 A) Debt to Equity Ratio = 0.78 B) Current Ratio = 1.65 C) Shareholders' Equity = $200 D) Return on Equity = 70% E) Asset Turnover = 1.25 Given the following information, which is ratio is correct? Revenue: $6,000 Operating Profit (EBIT): $1,200 Interest Expense: $350 Net Profit: $500 Total Assets: $8,000 A) Total Asset Turnover = 0.75 B) Net Profit Margin = 6.25% C) Times Interest Earned = 1.43x D) Common Size Interest Expense = 4.4% E) Return on Assets = 15% Given the following information, which is true? Company 1 Current Ratio: 0.8x, Times Interest Earned: 1.3x, Inventory Turnover: 4.0x Company 2 Current Ratio: 2.3x, Times Interest Earned: 5.4x, Inventory Turnover: 3.1x Company 3 Current Ratio: 1.6x, Times Interest Earned: 3.2x, Inventory Turnover: 5.5x A) Company 2 is unable to make interest payments on its debt B) Company 1 is more efficient at managing inventory than Company 2 C) Lenders would view Company 3 as higher risk of default than Company 1 D) Company 2 is the least liquid firm E) Company 1 is the most liquid firm Based on the following, which is true? Company 1 Return on Assets: 12.0%, Net Profit Margin: 5.5%, Debt / Equity: 0.5x Company 2 Return on Assets: 9.2%, Net Profit Margin: 6.7%, Debt / Equity: 3.0x Company 3 Return on Assets: 16.2%, Net Profit Margin: 12.1%, Debt / Equity: 1.3x A) Company 2 is more efficient at generating sales from assets than Company 1 B) Company 2 is the most leveraged firm C) Company 2 is the least leveraged firm D) Company 1 is the worst at generating profits from its assets E) Company 3 is the worst at generating profits from its sales 25. Based on the following, which is true? Company 1 A/R Days: 40, Inventory Days: 10, Payable Days: 30 Company 2 A/R Days: 5, Inventory Days: 30, Payable Days: 10 A) Company 2 has a negative cash conversion cycle, meaning it pays its receives payment from customers before paying suppliers B) Company 2 has a longer operating cycle and cash conversion cycle C) Both companies' have the same cash conversion cycle D) Company 1 has a longer operating but a shorter cycle cash conversion cycle E) Both companies receive payment from customers before paying suppliers 28. Which of the following types of companies would you expect to have the highest debt/capital ra tio? A) Consulting Firm B) Social Media Company C) Software Company D) Public Utility E) Pharmaceutical Company 30. Given the following information, calculate WoolridgeCo's Operating Cycle. Revenue: $8,000,000 COGS: $4,000,000 EBIT: $3,000,000 Net Income: $2,000,000 Avg. Inventory: $1,000,000 Avg. Receivables: $800,000 Avg. Payables: $800,000 A) 18 days B) 36 days C) 128 days D) 55 days E) 36 daysStep by Step Solution
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