NAME ACC230 Checkpoint # 2 Interpreting Financial Ratios Date From what I have read and gathered; over the past (3) three years‚ Luna Lighting financials does have the possibility to expand within the next few years. The companies average collection period on money has decreased in the last three years and is better than industry average. The inventory turnover rate has maintained at steady level and
Premium Financial ratios Financial ratio
Part A After-TAX Cost Debt O’Grandy Apparel Company can calculate the after tax debt cost using YTM (CP + (FV-Nd /n) / FV +Nd /2) *2. Cp is (0.12/2) * 1000= 60 Semi-annually Fv is 1000 Nd is 995 – (0.025* 1000) = 970 N is 20*2 because it is semi-annually then you have to use Kdt= Kd+ (i-T) .The tax bracket is 40 percent. Now we can have the after tax debt when it is equal or smaller than $700000 Kd ( 1-T) = 0.1249 (1-0.4)= 0.07494. If it is more than $700000 it will be KD (1-t) = 0.18(1-0.4)
Premium Dividend Weighted average cost of capital Investment
FINANCIAL RATIO ANALYSIS Based on the table 1‚ it shows that the financial ratio was divided into four parts which are liquidity‚ assets management‚ long-term debt paying ability and profitability. Liquidity ratios are particularly interesting to short-term creditors and it is focus on current assets and current liability. In addition‚ General Thumb of rule for the current ratio should be at least 2:1. For the Gemini Electronic the current ratio is consistent and it is increase in year 2006. But
Premium Financial ratios Financial ratio Generally Accepted Accounting Principles
deduction from the gross income of a business source: 1) it is revenue expenditure wholly and exclusively incurred in the production of income [S 33(1) Income Tax Act 1967] and it is not prohibited from deduction under S39 of the Income Tax Act 1967‚ 2) it is a specific deduction under S 34‚ S 34A or S 34B of the Income Tax Act 1967 and 3) it is allowed for deduction under gazette order. Question 3 (b) An expense is deductible under the condition of the following‚ if i) it is revenue expenditure
Premium Generally Accepted Accounting Principles Expense Operating expense
CheckPoint Chapter 2 Programming Problem The manager of the Supermarket would like to be able to compute the unit price for the product sold here. To do this‚ the program should input the name and price of an item and its weight in pounds and ounces. Analysis Process: 1. Display the program title. 2. Prompt for item name. 3. Prompt for the price of item. 4. Prompt for weight of item in pounds. 5. Prompt for weight of item in ounces. 6. Convert pounds to ounces then add it to ounces.
Premium Imperial units United States customary units Ring
examine each ratio over time and determine whether the trend is good or bad for the firm. | | All of these are true statements. | | The Standard Industrial Classification (SIC) System is used to identify benchmark firms. | | This benchmark is based on a firm’s historical performance. | | | Question 2 | | Coverage ratios: Sectors‚ Inc.‚ has an EBIT of $7‚221‚643 and interest expense of $611‚800. Its depreciation for the year is $1‚434‚500. What is its cash coverage ratio? | 18.34
Premium Generally Accepted Accounting Principles Firm Revenue
LAW 200 Assignment Sept‚ 8th 2013 Prepared By Zeeshan Rahman ID # 093 0194 530 Prepared For Shaheen Ahmed (SHD) Section 10 Introduction Company Defined According to Lord Justice Lindley‚ “By a company is meant association of many person who contribute money or money’s worth to a common stock and employ it for a common purpose. The common stock so contributed is denoted in money and is the capital of the company. The persons who contribute it or to whom it belongs are members. The
Premium Corporation Company Law
Summarize‚ in 200 to 300 words‚ the four external environmental factors and six internal environmental factors that help organizations achieve optimal function. Include in your response the factors that you feel are most important to the success of a human service organization. The four external environmental factors are: economic factors‚ sociological factors‚ technological factors‚ and political and professional factors. The six internal factors are: organizational purpose‚ mission‚ and
Premium Economics Organization Management
option on Ford stock with a strike price of $10. The option will expire in exactly 6 months’ time. a. If the stock is trading at $8 in 6 months‚ what will be the payoff of the put? • Payoff-max=(10-s)=max (10-8) the owner of put option will gains $2 b. If the stock is trading at $23 in 6 months‚ what will be the payoff of the put? • Payoff-max=(10-s)=max (10-23)=-13 the owner of put option will loses $13 c. Draw a payoff diagram showing the value of the put at expiration as a function of the
Premium Option Futures contract Derivative
In a joint-stock company an entrepreneur raises capital by issuing stock certificates of its ownership. This involves selling shares of the stock to investors that guarantee them the right to a certain percentage of the company’s profits. For example‚ suppose John holds shares of Mike’s Auto Repair Shop‚ which is a joint stock company. These shares give John a percentage of the vote on Mike’s management decisions‚ board elections‚ etc. The shares also give John unlimited responsibility for Mike’s
Premium Stock Limited liability Legal entities