Chapter 1, Problem 22E

The simplified balance sheet for the Dutch manufacturer Rensselaer Felt (figures in € thousands) is as follows:    Cash and marketable securities € 2,700   Short-term debt € 76,800   Accounts receivable   121,200   Accounts payable   63,200   Inventory   126,200   Current liabilities € 140,000   Current assets € 250,100           Property, plant, and equipment   213,200   Long-term debt   209,800   Deferred taxes   46,200           Other assets   87,800   Shareholders' equity   247,500   Total € 597,300   Total € 597,300     The debt has an interest rate of 6.50% (short term) and 8.50% (long term). The expected rate of return on the company's shares is 15.50%. There are 7.58 million shares outstanding, and the shares are trading at €44. The tax rate is 25%. Assume the company issues €50 million in new equity and uses the proceeds to retire long-term debt. Also assume the company's borrowing rates are unchanged and the short-term debt is permanent. Use the…

Using the data from Years n and n-1 below, answer the following questions. What are the company's assets, liabilities, and shareholder equity in Year n and n- I? What story does the balance sheet tell about changes in short term investments from Year n-1 to Year n? What story does the balance sheet tell about changes in notes payable from Year n-I to Year n? What is the company's net income in Year n and n-I?   please provide  answer and explain in detail for all answer all requirements with all working  answer in text

Here is a simplified balance sheet for Locust Farming: Locust Farming Balance Sheet ($ in millions) Current assets Long-term assets $ 42,529 46,842 Current liabilities Long-term debt Other liabilities Equity $ 29,750 27,757 14,327 17,537 $ 89,371 Total $ 89,371 Total Locust has 662 million shares outstanding with a market price of $88 a share. a. Calculate the company's market value added. b. Calculate the market-to-book ratio. c. How much value has the company created for its shareholders as a percent of shareholders' equity, that is, as a percent of the net capital contributed by shareholders? Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the company's market value added. Note: Enter your answers in millions. Market value Market value added million million

ABC Corporation has the following balance sheet. How much net operating working capital does the firm have? Cash Short-term investments Accounts receivable Inventory Current assets Net fixed assets Total assets O a. $285.00 O b. $15.00 O c. $68.00 O d. $82.00 Oe. $232.00 $10 Accounts payable Accruals 84 Notes payable 56 Current liabilities $150 Long-term debt 100 Common equity Retained earnings Total liab. & equity $250 $22 60 53 $135 30 30 55 $250

1.    The assets of J&R Associates consist entirely of Current Assets and net plant  and equipment.     The firm has total assets  of P2,500,000, and  and net plant equipment of P2,000,000. It has    notes payable of  P150,000, long-term debt of  P750,000, and total common equity of P1,500,000.    The firm does have accounts payable  and accruals  on its statement of financial position. The     firm only finances  with debt and common equity, so it has no  preferred stock on its statement     of financial position.    What is the amount of total liabilities  and equity that appears on  the firm's statement of    financial position?

The simplified balance sheet for the Dutch manufacturer Rensselaer Felt (figures in € thousands) is as follows:    Cash and marketable securities € 3,200   Short-term debt € 77,300   Accounts receivable   121,700   Accounts payable   63,700   Inventory   126,700   Current liabilities € 141,000   Current assets € 251,600           Property, plant, and equipment   213,700   Long-term debt   210,300   Deferred taxes   46,700           Other assets   87,300   Shareholders' equity   248,000   Total € 599,300   Total € 599,300     The debt has just been refinanced at an interest rate of 7.75% (short term) and 9.75% (long term). The expected rate of return on the company's shares is 16.75%. There are 7.63 million shares outstanding, and the shares are trading at €39. The tax rate is 25%.Calculate this company's weighed-average cost of capital. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

Suppose the English subsidiary of a U.S. firm had current assets of £1 million, fixedassets of £2 million and current liabilities of 1 million pounds both at the start and at the end ofthe year. There are no long-term liabilities. If the pound depreciated during that year from $1.50to $1.30, the translation gain (loss) to be included in the parent company's equity accountaccording to FASB #52 isa) 0 since the current assets and current liabilities cancelb) +$200,000c) -$250,000d) -$400,000

Threads Limited manufactures nuts and bolts, which are sold to industrial users. The abbreviated financial statements for 2018 and 2019 are as follows: See images   Dividends were paid on ordinary shares of £70,000 and £72,000 for 2018 and 2019, respectively. Required: (a) Calculate the following financial ratios for both 2018 and 2019 (using year-end figures for statement of financial position items): 1 return on capital employed 2 operating profifit margin 3 gross profifit margin 4 current ratio 5 acid test ratio 6 settlement period for trade receivables 7 settlement period for trade payables 8 inventories turnover period. (b) Comment on the performance of Threads Limited from the viewpoint of a business considering supplying a substantial amount of goods to Threads Limited on usual trade credit terms.

Sunny firm has the following balance sheet statement items: total current liabilities of RM805,000; total assets of RM2,655,000; fixed and other assets of RM1,770,000; and long-term debt of RM200,000. What is the amount of the firm's total current assets?