Homework Answers
Answer:
Option A : The profit before tax to total assets (PTA)
Explanation:
The ratio of profit before tax to total assets is also called Return on Assets. It is a ratio that measures a company's earnings to it's total net assets. In other words, this ratio shows how effectively the company uses it's asset for generating profit. So the answer is option A.
Add Answer to:
What ratio indicates the management's effective use of company resources? O A) The profit before tax...
Return on Assets Net Sales Gross Profit Margin Cost of Goods Operating Net Profit Before Tax...
Return on Assets Net Sales Gross Profit Margin Cost of Goods Operating Net Profit Before Tax PI Expense Accounts Receivable Return On Assets + Merchandise Inventory Total Current Assets Asset Turnover Cash Total Assets Fixed Assets Other Current Assets Use the charts on the following page to calculate Net Profit Margin % for each scenario: Scenario 1 Scenario 2 Income Statement Income Statement Sales Sales Gross Sales $200,000 Gross Sales $100,000 Promotional Allowances $25,000 Promotional Allowances $15,000 Customer Returns -$15,000...
Ratios for Simmons IndustryBetter (B) or worse(W) Ratio Δverage Profit margin Return on assets Return on...
Ratios for Simmons IndustryBetter (B) or worse(W) Ratio Δverage Profit margin Return on assets Return on equity Receivables turnover Avg. collection period Inventory turnover Fixed asset turnover Total asset turnover Current ratio Quick ratio Debt to total assets Times interest earned Fixed charge coverage 17.5% 20.8% 35% 4.4x 68.0 days - 3.5x 2.4x -76x 1.28 .85 .45 12.0x 3.6x Given the balance sheet and income state for Simmons Maintenance ratios that are also shown for the industry average. For each...
The attainable budget for a company is listed in the table below. What earnings are required...
The attainable budget for a company is listed in the table below. What earnings are required to yield the Net Profit (before tax) of $250,000 if the company decrease the fixed cost by $4,000? Round all ratios to two decimal places. Attainable Budget Earnings $700,000 Variable Cost $478,000 Fixed Cost $64.000 Net Profit (before tax) $62,000 O A) $1,367,987 OB) $645,856 OC) $2,434,886 OD) $968,750 Page 9 of 10 Previous Page Next Page
Complete Assurance of Learning Exercise 4C: Financial Ratio Analysis for PepsiCo. Financial Ratios for PepsiCo (2012)...
Complete Assurance of Learning Exercise 4C: Financial Ratio
Analysis for PepsiCo.
Financial Ratios for PepsiCo (2012) use the below information to
find
Liquidity Ratios:
- Current ratio:
- Quick ratio:
Leverage Ratios:
- Debt-to-total-assets ratio:
- Debt-to-equity ratio:
- Long-term debt-to-equity ratio:
- Times-earned-interest ratio: Profits before interest and
taxes/Total interest charges
Activity Ratios:
- Inventory turnover:
- Fixed assets turnover:
- Total assets turnover:
- Accounts receivable turnover:
Profitability Ratios:
- Gross profit margin:
- Operating profit margin:
-...
Cost of Goods Sold Cross Profit Selling General, and sinistra Income before Income Tax Expe Income...
Cost of Goods Sold Cross Profit Selling General, and sinistra Income before Income Tax Expe Income Tax Expense Net Tato Required: 1. Compute the gross profit percentage for each year. Assuming that the change from 2015 to 2016 is the beginning of a sustained trend, is Computer Tycoon likely to earn more or less gross profit from each dollar of sales in 2017? 2. Compute the net profit margin for each year. Given your calculations here and in requirement explain...
1.What is the return on assets (ROA) for a firm that has a debt ratio of...
1.What is the return on assets (ROA) for a firm that has a debt ratio of 0.65, a net profit margin of 6.5%, sales of $740,000, and a total asset turnover of 4? 2. Thompson Corp has a NPM of 11.5%. They reported earnings after tax of $632,500. If they had net fixed assets of $1,500,000 and current assets of $750,000, what are their total asset turnover ratios?
Q-2 FINANCIAL RATIO FORMULAS Match each of the following financial ratios with its formula: Accounts Payable...
Q-2 FINANCIAL RATIO FORMULAS Match each of the following financial ratios with its formula: Accounts Payable Tunover Ratio Fixed Asset Turnover Ratio Asset Turnover Ratio Cash Coverage Ratio Cash Ratio Current Ratio Average Age of Receivables Average Days Supply in Inventory Receivable Turnover Ratio Debt-to-Equity Ratio Earnings per Share (EPS) Financial Leverage Percentage Times Interest Earned Ratio Inventory Turnover Ratico Price/ Earnings (P/E) Ratio Profit Margin Quality of Income Quick Ratio Return on Equity (ROE) Return on Assets (ROA) A....
Indicate what is meant by the following ratio calculations. 1. Liquidity Ratios Current Ratio = Current...
Indicate what is meant by the following ratio calculations. 1. Liquidity Ratios Current Ratio = Current Assets Current Liabilities = 515800 626900 = 0.82 : 1 Quick Ratio = Quick Assets Current Liabilities = 42700 + 205800 626900 = 0.40 Cash Ratio = Cash & Cash Equivalents Current Liabilities = 42700 626900 = 0.0681 : 1 2. Turnover / Activity Ratios Inventory Turnover = COGS Average Inventories...
RATIO ANALYSIS Question: The balance sheet and income statement for the JP Robard mfg company areas...
RATIO ANALYSIS Question: The balance sheet and income statement for the JP Robard mfg company areas follows: Particulars Amounts Cash Account receivable Inventories Current Assets Net Fixed Assets Total Assets Account payables Accrued Expenses Short Term Notes Payables Current Liabilities Long term Debt Owners' Equity 500 2000 1000 3500 4500 8000 1000 600 300 2000 2000 4000 8000 8000 (3300) 4700 (3000) 1700 (367) 1333 (533) 800 Total Liabilities and Owners Equity Net Sales (All Credit) Cost of Goods Sold...
1. Pick two publicly traded companies in the same industry. 2. Calculate the ratios from your...
1. Pick two publicly
traded companies in the same industry.
2. Calculate the
ratios from your textbook or any other ratios you deem necessary
for each company for two years. Some examples are working capital,
current ratio, current cash debt coverage ratio, inventory turnover
ratio, days in inventory, receivables turnover ratio, average
collection period, debt to asset ratio, cash debt coverage ratio,
times interest earned ratio, free cash flow, earnings per share,
price earnings ratio, gross profit rate, profit margin...
Return on Assets Net Sales Gross Profit Margin Cost of Goods Operating Net Profit Before Tax PI Expense Accounts Receivable Return On Assets + Merchandise Inventory Total Current Assets Asset Turnover Cash Total Assets Fixed Assets Other Current Assets Use the charts on the following page to calculate Net Profit Margin % for each scenario: Scenario 1 Scenario 2 Income Statement Income Statement Sales Sales Gross Sales $200,000 Gross Sales $100,000 Promotional Allowances $25,000 Promotional Allowances $15,000 Customer Returns -$15,000...
Ratios for Simmons IndustryBetter (B) or worse(W) Ratio Δverage Profit margin Return on assets Return on equity Receivables turnover Avg. collection period Inventory turnover Fixed asset turnover Total asset turnover Current ratio Quick ratio Debt to total assets Times interest earned Fixed charge coverage 17.5% 20.8% 35% 4.4x 68.0 days - 3.5x 2.4x -76x 1.28 .85 .45 12.0x 3.6x Given the balance sheet and income state for Simmons Maintenance ratios that are also shown for the industry average. For each...
The attainable budget for a company is listed in the table below. What earnings are required to yield the Net Profit (before tax) of $250,000 if the company decrease the fixed cost by $4,000? Round all ratios to two decimal places. Attainable Budget Earnings $700,000 Variable Cost $478,000 Fixed Cost $64.000 Net Profit (before tax) $62,000 O A) $1,367,987 OB) $645,856 OC) $2,434,886 OD) $968,750 Page 9 of 10 Previous Page Next Page
Complete Assurance of Learning Exercise 4C: Financial Ratio
Analysis for PepsiCo.
Financial Ratios for PepsiCo (2012) use the below information to
find
Liquidity Ratios:
- Current ratio:
- Quick ratio:
Leverage Ratios:
- Debt-to-total-assets ratio:
- Debt-to-equity ratio:
- Long-term debt-to-equity ratio:
- Times-earned-interest ratio: Profits before interest and
taxes/Total interest charges
Activity Ratios:
- Inventory turnover:
- Fixed assets turnover:
- Total assets turnover:
- Accounts receivable turnover:
Profitability Ratios:
- Gross profit margin:
- Operating profit margin:
-...
Cost of Goods Sold Cross Profit Selling General, and sinistra Income before Income Tax Expe Income Tax Expense Net Tato Required: 1. Compute the gross profit percentage for each year. Assuming that the change from 2015 to 2016 is the beginning of a sustained trend, is Computer Tycoon likely to earn more or less gross profit from each dollar of sales in 2017? 2. Compute the net profit margin for each year. Given your calculations here and in requirement explain...
Q-2 FINANCIAL RATIO FORMULAS Match each of the following financial ratios with its formula: Accounts Payable Tunover Ratio Fixed Asset Turnover Ratio Asset Turnover Ratio Cash Coverage Ratio Cash Ratio Current Ratio Average Age of Receivables Average Days Supply in Inventory Receivable Turnover Ratio Debt-to-Equity Ratio Earnings per Share (EPS) Financial Leverage Percentage Times Interest Earned Ratio Inventory Turnover Ratico Price/ Earnings (P/E) Ratio Profit Margin Quality of Income Quick Ratio Return on Equity (ROE) Return on Assets (ROA) A....
RATIO ANALYSIS Question: The balance sheet and income statement for the JP Robard mfg company areas follows: Particulars Amounts Cash Account receivable Inventories Current Assets Net Fixed Assets Total Assets Account payables Accrued Expenses Short Term Notes Payables Current Liabilities Long term Debt Owners' Equity 500 2000 1000 3500 4500 8000 1000 600 300 2000 2000 4000 8000 8000 (3300) 4700 (3000) 1700 (367) 1333 (533) 800 Total Liabilities and Owners Equity Net Sales (All Credit) Cost of Goods Sold...
1. Pick two publicly
traded companies in the same industry.
2. Calculate the
ratios from your textbook or any other ratios you deem necessary
for each company for two years. Some examples are working capital,
current ratio, current cash debt coverage ratio, inventory turnover
ratio, days in inventory, receivables turnover ratio, average
collection period, debt to asset ratio, cash debt coverage ratio,
times interest earned ratio, free cash flow, earnings per share,
price earnings ratio, gross profit rate, profit margin...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 10 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 10 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 10 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 10 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 10 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 10 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 10 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 10 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 10 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 10 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 10 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 10 months ago