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Atlantic corporations ebit 440 debt 290 equity 960 Pacific corporation ebit 520 debt 1540 equity 370
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- QS 10-17 (Algo) Debt-to-equity ratio LO A2 Total liabilities Total equity Atlanta Company "$510, 000 570, e00 Spokane Company $ 484,500 1,529,000 Compute the debt-to-equity ratio for each of the above companies. Debt to equity ratio Choose Numerator: Choose Denominator: =Debt-to-equity ratio Atlanta Company Spokane CompanyFinancial statement analysis 2. Given below are the summarized accounts of Belper Ltd for the past five years. These the basis for the questions which follow. Summarized profit and loss accounts of Belper Ltd Sales Cost of sales Trading profit Depreciation Interest Net profit before tax Taxation Net profit after tax Extraordinary items Dividends Retained profits Retained at start of year Retained at end of year Fixed assets Freehold land and buildings Leasehold land and buildings Plant and machinery Total gross fixed assets Depreciation freehold Depreciation leasehold Depreciation plant, etc. Total depreciation Net fixed assets Intangible fixed assets Goodwill Investments Patents and trade marks Current assets Stock Debtors Bank and cash Current liabilities Creditors Taxation Dividends Bank loans and overdraft 19X4 Net current assets £000 Financed by Ordinary share capital Share premium account Retained profits Revaluation reserves 93,930 81,750 12,180 1,023 2,727 8,430 2,517 5,913…Net Sales COGS Net Income Accounts Receivable Inventory Current Assets Fixed Assets Total Assets Current Liabilities Long-Term Debt Total Liabilities Shareholder's Equity Number of Shares Outstanding now Transcribed Text 1 10586 1582 2936 3333 1 7929 7294 15223 3026 288 3314 11909 7493 G C 2 4048 2025 21 230 44 299 1281 1580 369 245 614 966 48 Questions 1. What company collects its receivables the slowest? 2 w 3 213 66 7 9 16 68 12 80 23 1 24 56 24
- C204 Corporate Accounting and Reporting T321 tion 4 Which of the following statements is correct? red Select one d eut of O a. All joint arrangements are accounted for under AASB 128/IAS 28. Ob. Joint arrangements classified as joint ventures are accounted for under AASB 11. ag tion OG. Joint arrangements classified as joint operations are accounted for under AASB 128AAS 28 Od. Joint arrangements classified as joint ventures are accounted for under AASB 128/AS 28. vious pageBrief Exercise 9-3 (Algo) Ratio analysis LO 9-3 The balance sheet for Alpha Corporation follows: Current assets Long-term assets (net) Total assets Current liabilities Long-term liabilities Total liabilities Common stock and retained earnings Total liabilities and stockholders' equity Debt-to-assets ratio Debt-to-equity ratio $998,000 1,508,000 2,506,000 Required: Compute the debt-to-assets and debt-to-equity ratios using the provided balance sheet. Note: Round your final answers to 1 decimal place. % 704,000 1,104,000 1,808,000 698,000 $2,506,00021. Halal Berhad’s comparative financial statements for the years ending 31 December 2020, and 2019, are as follows. Halal Berhad’s common stock market price was RM35 on 31 December 2020 and RM40 on 31 December 2019. Halal Berhad Statement of Profit or Loss and Other Comprehensive Income For the years ended 31 December 2020 and 2019 2020 (RM’000) 2019 (RM’000) Sales 1,200 1,000 Cost of goods sold 500 475 Gross Profit 700 525 Selling expenses 240 200 Administrative expenses 180 150 Total operating expenses 420 350 Income from operations 280 175 Other income 166 225 446 400 Other expense (interest) 66 60 Income before income tax 380 340 Income tax expense 80 60 Net income 300 280 Halal Berhad Statement of Financial Position As at 31 December 2020…
- Total debt 1 000 000 5 000 000 Annual interest 100 000 500 000 Total sales 25 000 000 25 000 000 EBIT 6 250 000 6 250 000 Earnings available for common stockholders 3 690 000 3 450 000 Calculate the following debt and coverage ratios for the two companies Discuss their financial risk and ability to cover the costs in relation to each other Debt ratio Times interest earned ratio Calculate the following profitability ratios for the two companies Discuss their profitability relative to one anothDebt to Assets ratio? Current assets $22400 Net income $44500 Stockholders' Current liabilities 13400 66400 equity Average assets 132000 Total liabilities 28600 Total assets 87000 Average common shares outstanding was 17000. 21.7 percent 43.8 percent 32.9 percent 33.7 percent15-23 (in millions) Company Assumed Value Equity Assumed Value NOPAT Net Income Net Non operating obligation (assets) Common Shares outstanding NOPAT market multiple Company Instrinsic value Equity Intrinsic value Equit instrinc value per share NOPAT market multiple company instrinsic value Applied Materials 1,444.0 1,377 (1,369) 1160 KLA Tencor 9,679 8,876 440 366 803 157.9 Lam Research 11,413 market value of company 13,133 market value of equity 674 656 (1,715) 158.5
- Name the five mandatory components of a complete set of financial statements according to IAS 1 "Presentation of Financial Statements". What additional reporting is required of entities whose shares or securities are publicly traded? В I PrtSc F6 F7 F8 F9 F10 F11 F12 II 立Atlanta Company $ 429,000 572,000 Atlanta Company Spokane Company Total liabilities Total equity Compute the debt-to-equity ratio for each of the above companies. Debt to equity ratio Choose Numerator: Spokane Company $ 549,000 1,830,000 / Choose Denominator: 1 1 1 = Debt-to-equity ratio =l-Itihad Corporation Balance SheetDecember 31, 2019AssetsLiability & EquityCurrent AssetsCurrent LiabilityCash$5,000Accounts payable22,000Short term securities10,000Accrual Account8,000Account Receivables30,000Short term debt6,000Inventory32,000Total Current Liability36,000Long-term debt40,000Total Current Assets77,000TotalLiability76,000Long term AssetsEquityNet Property & equipment70,000CommonStocks64,000Retained earnings17,000Total Equity81,000Total Liability and Equity157,000Other assts 10000Total Assets157,000Sur Corporation Income StatementDecember 31, 2019Other Financial information of Sur corporation December 31, 2019Net sales (revenue)$150,000· Average Number of Common shares outstanding 16,000 Shares· Market price of Common share $3.5Cost of goods sold80,000Gross profit70,000Operating expenses30,000EBIT- (Operating profit)40,000Interest expense10,000EBT- ( Earnings before taxes)30,000Income tax 10,000Net Income (net profit)20,000You have to find the following ratios…