Fi515 Hw Week 2

3-1
DSO = Receivables/Avg Sales per Day
DSO = 20 days x 20000 = 400000

3-2
Debt dimension
Debt Ratio + justness Ratio = 1
candor Multiplier = 2.5
Equity Ratio = 1/EM
Equity Ratio = ½.4 = .40
Debt Ratio = 1 Equity Ratio = 1-.40 = 60%

3-3
Marketbook Ratio
Market = 75 x 800mm = $60 billion
Book Value = Assets Liabilities (1billion current + 3billion long term)
= 10billion 4billion = 6billion
M/B = 60billion/6billion = $10 billion

3-4
notes flow per share = 3.00
damage/Cash Flow = 8 times
Price/3.00 = 8 x 3 = 24.00
Price = $24.00
P/E = $24.00 / $1.50 = 16

3-5
hard roe = PM (Profit/Sales) x amount Asset Turnover (Sales/Assets) x Equity Multiplier (Assets/Equity)
PM 3% EM 2.0
Sales = 100mm
Total Assets = 50mm
Total Asset Turnover = Sales/Assets
TAT = 100mm/50mm = 2mm
roe = PM = .03 x TAT = 2MM x EM = 2.0
roe = .03 x 2mm x 2.-
ROE = 12%

3-6
ROA = 10% PM = 2% ROE = 15%
Total Asset Turnover
ROA = PM x TAT
TAT = ROA/PM
TAT = .10/.02
TAT = 5.0
Equity Multiplier
ROE = ROA x EM
EM = ROA/ROA
EM = .15/.10
EM = 1.5

3-7
menstruum Assets = 3mm authentic Ratio = 1.5 Quick Ratio = 1.0
Current Liabilities
CR= CA/CL
1.5 = 3mm/cl
CL x 1.5 = 3mm
CL = 3mm/1.5
Current Liabilities = 2mm
Inventories
QR = Current Assets Inventories/Current Liabilities
1.0= 3mm Inventory/2mm
1.



0x 2mm = 3mm inventory
2mm 3mm = inventory
Level of inventories = 1mm

4-1
FV = PV + INT
=PV+PV(I)
=PV(1+I)
=10,000(1+.10) = 10,000(1.10) = 11000
FV = 10,000(1.10)^5 = 16105.1

4-2
PV = FV n/(1+I)^n
PV = 1292.09

4-6
division 0-0
course 1 = 300
family 2 = 300(1.07)^1 = 321
Year 3 = 300(1.07)^2 = 343.47
Year 4 = 300(1.07)^3 = 367.51
Year 5 = 300(1.07)^4 = 393.24
FV = 1725.22
Due = 1845.99

4-13
a.400/year at 10% for 10 years = 2457.83
b.200/year at 5% for 5 years = 865.90
c.400/year at 0% for 5 years = 2000
d.as annuities (2703.61) (909.20) (2000)

4-14

Year Cash Stream A...If you want to get a full essay, gild it on our website: Orderessay



If you want to get a full essay, wisit our page: write my essay .