Questions from Corporate Finance

Q: Whipporwill, Inc.’s, net income for the most recent

Whipporwill, Inc.’s, net income for the most recent year was $19,382. The tax rate was 21 percent. The firm paid $3,681 in total interest expense and deducted $4,738 in depreciation expense. What was...

Q: Cage Corp. has current liabilities of $415,000,

Cage Corp. has current liabilities of $415,000, a quick ratio of .86, inventory turnover of 10.3, and a current ratio of 1.34. What is the cost of goods sold for the company?

Q: Dahlia Corp. has a current accounts receivable balance of $513

Dahlia Corp. has a current accounts receivable balance of $513,260. Credit sales for the year just ended were $4,986,340. What is the receivables turnover? The days’ sales in receivables? How long did...

Q: The Top Corporation has ending inventory of $426,287,

The Top Corporation has ending inventory of $426,287, and cost of goods sold for the year just ended was $4,738,216. What is the inventory turnover? The days’ sales in inventory? How long on average d...

Q: Mobius, Inc., has a total debt ratio of .57

Mobius, Inc., has a total debt ratio of .57. What is its debt-equity ratio? What is its equity multiplier?

Q: Bolton Corp. had additions to retained earnings for the year just

Bolton Corp. had additions to retained earnings for the year just ended of $435,000. The firm paid out $245,000 in cash dividends, and it has ending total equity of $5.7 million. If the company curren...

Q: If Rogers, Inc., has an equity multiplier of 1.

If Rogers, Inc., has an equity multiplier of 1.43, total asset turnover of 1.87, and a profit margin of 6.05 percent, what is its ROE?

Q: Jackson Corp. has a profit margin of 5.8 percent

Jackson Corp. has a profit margin of 5.8 percent, total asset turnover of 1.75, and ROE of 13.85 percent. What is this firm’s debt-equity ratio?

Q: Based only on the following information for Ortiz Corp., did cash

Based only on the following information for Ortiz Corp., did cash go up or down? By how much? Classify each event as a source or use of cash. Decrease in inventory ……………………………….. $425 Decrease in acc...

Q: Consider the following simplified financial statements for the Wesney Corporation (assuming

Consider the following simplified financial statements for the Wesney Corporation (assuming no income taxes): The company has predicted a sales increase of 15 percent. It has predicted that every it...