Use the Dupont identity to solve the following. The ABC Inc. has sales of $10,500, total assets of $4600, and equity multiplier of 1.2. If its ROE is 14%, what comes closest to its ne income? 0 0 0 0 398 644 773 875 537
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- If a company’s equity multiplier is 0.5, total equity is $10000 and net income is $50000, calculate return on asset and return on equity of the company. Show all the calculations.Calculate the equity multiplier (total assets / total equity) for the firm below. Keep to 2 decimal places and do not convert it. ....for examples, if you calculate 6,000/400 = 15, you should enter 15 into BB to be marked correct. Sales $5,000 COGS $1,200 Depreciation $800 Interest $500 Net Income $200 Total Assets 6000 Total Equity 1300Calculate the equity multiplier (total assets / total equity) for the firm below. Make sure you do NOT convert your answer and keep 2 decimals for your final answer.....for examples, if you calculate 6,000/400 = 15, you should enter 15 into BB to be marked correct. Sales $5,000 COGS $1,200 Depreciation $800 Interest $500 Net Income $200 Total Assets 5000 Total Equity 1400
- The Ashwood Company has a long-term debt ratio of 0.50 and a current ratio of 1.60. Current liabilities are $970, sales are $5,175, profit margin is 9.80 percent, and ROE is 17.60 percent. What is the amount of the firm's net fixed assets? Hint: This is another complex problem that requires a number of steps. Remember that CA + NFA=TA. So, if you find CA and TA, then you can solve for NFA Helpful Equations: Long-term debt ratio - LTD/(LTD + TE) CR-CA/CL PM-NI / Sales ROE-NI/TE O $3,851.53 O $3,601.92 O $5,181.07 O $6.733.07 O $2.881.53Assume that you are a consultant to Morton Inc., and you have been provided with the following data: D0 - $1.4: PO - $36; and g - 4.8% (constant). What is the cost of equity from retained earnings based on the DCF approach? OO Ⓒ948% 8.88% Go httAssume that you are a consultant to Broske Inc., and you have been provided with the following data: D1 = $1.70; P0 = $49.50; and g = 6.00% (constant). What is the cost of equity from retained earnings based on the DCF approach?
- An analyst has determined that the appropriate EV/EBITDA for Rainbow Company is 9.6. The analyst has also collected the following forecasted information for Rainbow Company: EBITDA 21,520,490 = Market value of debt = 55,130,410 Cash 1,665,658 = Compute the value of equity for Rainbow Company. (Enter your answer as a number, rounded to the nearest whole number, like this: 1234) Type your answer...You have the following information about Trisha Company: total asset =P350,000; common stock equity = P175,000; Return on Equity (ROE) =12.5%. What is Trisha’s earnings available for common stockholders? A. P21,875B. P43,750C. P50,000D. P47,632As the assistant to the CFO of Johnstone Inc., you must estimate its cost of common equity. You have been provided with the following data: D0 = $0.80; P0 = $22.50; and g = 8.00% (constant). Based on the DCF approach, what is the cost of common from retained earnings? Please show formula and answer
- 03.27 Using the DuPont Identity Y3K, Inc., has sales of $10, 570, total assets of $4, 670, and a debt-equity ratio of 25. If its return on equity is 15 percent, what is its net income?Martin Tucker Enterprises has total common equity of $645,500, sales of $1.15 million, and a profit margin of 3.6 percent. What is the return on equity? Can the calculator and excel solution be provided?The following information is available regarding XYZ Co. sales = $250,000net income = $35,000dividends = $10,000total debt = $100,000total equity = $80,000 What growth rate can be supported without outside financing?