User Account

All Pages

Calculate the eva and mva on the basis of market value

Assignment Help Managerial Accounting
Reference no: EM132967916

Question - The Income Statement and Balance Sheet of Jupiter Ltd. is given below: Income Statement Particulars (Rs in lakhs) Sales 4250 Interest received on Investment 160 Manufacturing cost 180 Administrative cost 155 Selling & Distribution cost 145 Depreciation 250 Profit on sale of old assets 55 Loss on sale of furniture 50 Interest cost 250 Profit before tax ? Tax ? Profit after tax 2232.75 Balance Sheet Liabilities Rs (In Lakhs) Assets Rs (In lakhs) Equity Capital (Rs 10/share) 950 Machinery 650 Debt 750 Building 825 Payables 255 Inventory 245 Provisions 235 Receivables 325 Cash 145 Total 2190 2190 Other Information:- The cost of debt before tax is 10% The risk free rate of return is 7% The beta factor of the company is 1.30 Current market price of equity share is Rs 55 The market risk premium is 7% From the information given you are required to calculate the EVA and MVA on the basis of Market value of equity capital.

Reference no: EM132967916

Questions Cloud

Record the may transactions by making the entries : Record the following May transactions by making the appropriate entries in the general journal. Next, prepare a trial balance as of May 31
What will result from an increase in the activity level : The linear equation Y = a + bX is often used to express cost formulas. Which of the following representations in this equation is correct?
What is the difference between variable costs and fixed cost : Within the relevant range, what is the difference between variable costs and fixed costs? Total variable costs and total fixed costs fluctuate.
Address the impact of changes and its consequences : Establish ways to capture, communicate and share innovative ideas and practices and Develop and apply strategies to foster a workplace culture capable
Calculate the eva and mva on the basis of market value : The market risk premium is 7% From the information given you are required to calculate the EVA and MVA on the basis of Market value of equity capital
What was the company cost of goods sold for the month : What was the company's cost of goods sold for the month? Gabel Inc. is a merchandising company. Last month, the company's merchandise purchases
Find the operating breakeven point in number of CDs : The CDs will be sold for $13.98 each, variable operating costs are $10.48 per CD, Find the operating breakeven point in number of CDs
How many units would have to be sold to yield a target : How many units would have to be sold to yield a target operating income of $22,000, assuming variable costs are $15 per unit, total fixed costs are $2,000
What is its average payment period : Question - If a firm has a cash cycle of 32 days and an operating cycle of 94 days, what is its average payment period

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd