Reference no: EM131929704
Controllership Homework
Answer all the questions.
Question 1 - Using the Wal-Mart, Inc. financial statements provided on Blackboard, calculate and interpret the current liabilities ratios (including cash cycle) we discussed in class.
Question 2 - Using the Wal-Mart, Inc. financial statements provided on Blackboard, calculate and interpret the long-term liabilities ratios we discussed in class.
Question 3 - You are the controller of a firm whose CEO believes that debt should always be used to finance long-term expenditures because interest is tax deductible. List and describe other benefits to debt financing. Also, list and describe risks to using debt.
Question 4 - Given the following information, calculate the firm's WACC:
Tax rate: 40%
Debt rate: 6%
Preferred stock dividend rate: 11% of $100 par value
Risk-free rate of return: 2%
Market rate of return: 13%
Stock beta: 1.2
Debt value: $15,000,000
P/S value: $5,000,000
C/S value: $30,000,000
Question 5 - List and describe three accounting issues related to acquisitions. What role does the controller play in addressing these issues?
|
Do you recommend marketing the new golf balls
: If No Flight sets its price high, the probability that the competition will set its price high, medium, and low is 0.3, 0.55, and 0.15, respectively.
|
|
Why the methods used by ebay have been successful
: What are the reasons why the methods used by eBay have been successful?
|
|
Why are they difficult to implement
: What is a CRM, SCM, and ERP? Why are they difficult to implement? How do information systems help to increase the profitability of the company?
|
|
Essence in consummating
: Sam Smith considers that time is of the essence in consummating the proposed transaction." Unfortunately, Ben was unable to close on the date specified.
|
|
Calculate and interpret the current liabilities ratios
: ACT 5735 - Controllership Homework. Using the Wal-Mart, Inc. financial statements provided on Blackboard, calculate and interpret the current liabilities ratios
|
|
Develop a business proposal persuading the senior management
: Develop a business proposal persuading the senior management of your organization to initiate a change in processes, procedures, products, people, or structure.
|
|
Determine the viability of your business idea
: Demonstrate how you applied the QuickScreen method to determine the viability of your business idea.
|
|
Should you use your hard or soft serve
: Your regular tennis partner has made a friendly wager with you. The two of you will play out one point in which you can serve. The loser pays the winner $100.
|
|
Find the probability that the pilot plant will succeed
: If the pilot plant fails, Rob feels the chance of the full-scale facility succeeding is only 20%. The probability that the pilot plant will succeed is estimated
|