Question
Please. Answer all questions. 1- Suppose that a company is established in the beginning of the year 2020. As of the 2020 year end, you
Please. Answer all questions. 1- Suppose that a company is established in the beginning of the year 2020. As of the 2020 year end, you have the following data: (a) Current ratio = 1.2; (b) Equity multiplier = 4; (c) Fixed assets/Invested capital = 0,4; (d) Total liabilities = 3.000 $. What is the weight of fixed assets in the balance sheet? A. 10% B. 90% C. 75% D. 25%
2- Refer to Question 1. You have the following additional data for the year 2020: (a) Revenue = 10.000 $; (b) Gross profit margin = 50%; (c) OpEx = 4.000 $; (d) Depreciation expense = 100 $; (e) Interest expense = 300 $; (f) Income tax = 20%; (g) price per share = 2 $ . What is the Altman's Z-score? (Assume that the equity section in the balance sheet involves 1 $ par common stocks and retained earnings only. Retained earnings include net profit.) A. 3,925 B. 3,877 C. 3,835 D. 7,177
3- Refer to Question 1 and 2. What is ROIC? A. 1 B. 0,27 C. 0,80 D. 0,56
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