Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Q 01: a) Explain the Dupont ratio. b) Assume a company reports the following financial data for two years: Year one net income =Rs. 180,000

Q 01: a) Explain the Dupont ratio.

b) Assume a company reports the following financial data for two years:

Year one net income =Rs. 180,000

Year one revenues =Rs. 300,000

Year one total assets =Rs. 500,000

Year one shareholder equity = Rs. 900,000

Year two net income =Rs.170, 000

Year two revenues =Rs.327, 000

Year two total assets =Rs.545, 000

Year two shareholder equity =Rs.980, 000

Required: Calculate the DuPont for year 1 and year 2?

Q 02: (a) A 5-yearordinary annuityhas a present value of Rs.500,000.If the interest rate is 8 percent, calculate the future value of annuity?

(b) An 8-yearannuity duehas a future value of Rs.500,000. If the interest rate is 5 percent, calculatethe present amount of annuity payment?

Q 03: What is the difference between annuity due and ordinary annuity. Why the interest amount of ordinary annuity is less than the annuity due?

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

Intermediate Financial Management

Authors: Brigham, Daves

10th Edition

978-1439051764, 1111783659, 9780324594690, 1439051763, 9781111783655, 324594690, 978-1111021573

More Books

Students also viewed these Finance questions