Question
The 5-Year Treasury bond is currently yielding 5.25%. The coupon at issuance was 6.00%. Is the bond trading at a discount, a premium, or at
The 5-Year Treasury bond is currently yielding 5.25%. The coupon at issuance was 6.00%. Is the bond trading at a discount, a premium, or at par?
A. | Par | |
B. | Discount | |
C. | Premium | |
D. | Cannot be determined from the information given |
The Zolo Company just declared that it is decreasing its annual dividend from $1.25 per share to $1.00 per share. If the stock price remains constant, then the dividend yield will:
A. | Increase | |
B. | Decrease | |
C. | Remain the same, since dividend yield is independent of the stock price | |
D. | Cannot be determined from the information given |
The monthly payment of a 30-year mortgage on $400,000 at 6% is closest to:
$2,400 | ||
$1,200 | ||
$2,000 | ||
$4,000 |
Vanderlays ability to service its debt is:
A. | Improving | |
B. | Deteriorating | |
C. | Remains the same | |
D. | CAnnot be determined from the information given |
Which of the following statements is most accurate regarding Vanderlays net income:
A. | Net income is increasing because sales are rising | |
B. | Net income is decreasing because of their inability to manage fixed expenses | |
C. | Net income is increasing because variable expenses are decreasing | |
D. | cannot be determined from the information given |
Which of the following statements is most accurate regarding liquidity
A. | Liquidity is deteriorating | |
B. | Liquidity is improving | |
C. | Liquidity remains the same | |
D. | Cannot be determined from the information given |
Which of the following statements regarding the collection period (in days) is most accurate
A. | The collection period is decreasing | |
B. | The collection period is increasing | |
C. | The collection period remains the same | |
D. | Cannot be determined from the information |
2017 2015 $10,686 $3,289 $4,049 2016 $11,874 $3,654 $4,049 $13,193 $4,060 $4,049 VANDERALY INDUSTRIES (as of year-end 12/31/xx) Sales Cost of Goods Solds General & Admin EBITDA Depreciation EBIT interest Taxable Income Taxes (@35%) Net Income $2,518 $2,518 $2,518 $685 $685 $685 cash coverage (EBIT+deprec)/interest ebit/interst ASSETS (as of year-end 12/31/xx) Cash and securities Receivables Inventories Other Current Assets 2016 $158 $2,490 $238 $932 $3,818 $19,915 $3,770 $27,503 2017 $89 $2,382 $187 $867 $3,525 $19,973 $4,216 $27,714 Total Current Assets Net Property Plant & Equip Other long-term assets Total Assets 2015 $158 $2,490 $238 $932 $3,818' $19,915 $3,770 $27,503 $0 $0 $3,040 $1,573 $787 $5,400 $6,883 $6,149 $9,121 $27,553 Liabilities and Shareholders Equity Accounts Payable short-term debt other current liabilities Total current liabilities $3,040 $1,573 $787 $5,400 $6,883 $6,149 $9,121 $27,553 $2,564 $1,419 $811 $4,794 $7,018 $6,178 $9,724 $27,714 Long-term debt & leases Other long-term liabilities Shareholder's equity Total liabilities & shareholders' equity current ratio (current assets/current liabilities) avg collection period in days (start of year rec'v/average daily sales)
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