Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
At year-end 2012, total assets for Shome Inc. were $1.2 million and accounts payable were $375,000. Sales, which in 2012 were $2.5 million, are expected to increase by 25 percent in 2013. Total assets and accounts payable are proportional to sales, and that relationship will be maintained. Shome typically uses no current liabilities other than accounts payable. Common stock amounted to $425,000 in 2012, and retained earnings were $295,000. Shome plans to sell new common stock in the amount of $75,000. The firm’s profit margin on sales is 6 percent, and 40 percent of earnings will be paid out as dividends. (a) What was Shome’s total debt in 2012? (b) How much new long-term debt financing will be needed in 2013?
(Hint: AFN-New stock=New long-term debt.) Assume that Shome operated at full capacity in 2012, and do not consider any financing feedback effects.
1. which index is your company a member of? explain the important characteristics of this index.2. what is the current
After successfully completing your corporate finance class, you feel the next challenge ahead is to serve on the board of directors of Schenkel Enterprises. Unfortunately, you will be the only person voting for you. If Schenkel has 390,000 shares out..
Which of the following does NOT affect the business risk of a firm? According to the trade off model of capital structure, which is true at the optimal capital structure? The Price Co. can make widgets for $5 and sell them for $8. If fixed costs are ..
Write a 700- to 1,050-word paper in which you explain roles of limited liability corporations, limited liability partnerships. If you were establishing your own business, under what circumstances would you choose one instead of the other?
Explain 3 financial initiatives this company uses. Evaluate your findings to determine the most likely outcome. Include calculations that support your analysis of various financial outcomes and discuss the financial effect on the organization.
Complete a thorough review on the topics of the business of sports and globalization efforts of professional sports leagues. Organize your two-to-three page paper according to appropriate APA style including a title page and reference page.
A corporation’s pretax net income of $1,000,000 is taxable based on 30% of the first $300,000, 35% of the next $300,000, and 40% of the balance: What is the corporation’s average tax rate? What is the corporation’s marginal tax rate?
There is a rule of thumb which can be used as an approximation called the Rule of 72 to find interest or period of time, given the other quantity, and it is given as ni=72.If $1 is invested for 10 years, what compound rate is necessary for the money ..
The numbers don't tell the whole story. Accountants use notes to the financial statements to provide additional information and clarification. What types of non-financial information should accountants disclose? Some people argue that you can never i..
Howe Industries sells on terms of 2/10, net 40. Gross sales last year were $4.5 million, and accounts receivable averaged $437,500. Half of Howe’s customers paid on Day 10 and took discounts. What is the cost of trade credit to Howe’s non discount cu..
The Raven Co. has just gone public. Under a firm commitment agreement, Raven received $15.30 for each of the 15 million shares sold. The initial offering price was $18.00 per share, and the stock rose to $20.10 per share in the first few minutes of t..
Now are businesses competing with each other in this age where every company uses IT to automate its business processes to sustain in the market and where technical assets are being so easily replicated?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd