Creditor to evaluate the ability of the firm to repary loan

Assignment Help Financial Management
Reference no: EM131568920

Which of the following ratios would most likely be used by a creditor to evaluate the ability of the firm to repary a loan?

a. return on assets

b. times interest earned

c. the price earnings ratio or P/E

d. market to book value ratio

e. The current ratio

Reference no: EM131568920

Questions Cloud

Pay for insurance-property taxes and maintenance : Under either the lease or the purchase, Big Sky must pay for insurance, property taxes, and maintenance.
How might the given driver have been bitten by the spider : As you visualize the employee's environment, how might this driver have been bitten by the spider? Your response should be at least 150 words.
Will the customer win : A fast-food chain has a contest in which a card with numbers on it is given to each customer who makes a purchase. If some of the numbers on the card add up to.
How long will it take him to pay off debt : If he can pay $150 each month and the card charges 17 percent APR (compounded monthly), how long will it take him to pay off the debt?
Creditor to evaluate the ability of the firm to repary loan : Which of the following ratios would most likely be used by a creditor to evaluate the ability of the firm to repary a loan?
Prove the statement directly from the definitions : For each statement in determine whether the statement is true or false. Prove the statement directly from the definitions if it is true.
List the mapping from binary to hexadecimal : Suppose you have a number 1100010101002, can you directly change it from binary to hexadecimal. List the mapping from binary to hexadecimal.
What are three lines of defense in effective risk management : What are the three lines of defense in effective risk management and how do we distinguish among their functions?
Evaluate internal control risk : Internal Control over Purchasing Problem - Evaluate internal control risk over purchases using "low," "moderate," or "high" risk categories. Explain your answer

Reviews

Write a Review

Financial Management Questions & Answers

  What cost structure is best when a provider is capitates

What cost structure is best when a provider is capitates? Explain What cost structure is best when a provider is reimbursed primarily by fee-for-service payers? Explain. What would happen financially to a healthcare organization over time if its pric..

  How much of this judgment would the insurance cover

Becky Fenton has 70/140/80 automobile insurance coverage. If two other people are awarded $115,000 each for injuries in an auto accident in which Becky was judged at fault, how much of this judgment would the insurance cover?

  A pension fund manager is considering three mutual funds

A pension fund manager is considering three mutual funds. What is the Sharpe ratio of the best feasible CAL?

  Confidential information memorandum

Are potential acquisition candidates included in a CIM (Confidential Information Memorandum)?

  Discuss the importance of corporate social responsibility

Discuss the importance of Corporate Social Responsibility (CSR) when managing an organization.

  Estimate of total cost to barnegat light of the equity issue

Barnegat Light sold 170,000 shares in an initial public offering. The underwriter's explicit fees were $64,000. The offering price for the shares was $34, but immediately upon issue, the share price jumped to $45. What is the best estimate of the tot..

  What is the forward rate

Suppose the spot rates for 1 and 2 years are s1=6.3% and s2=6.9% with annual compounding.- What is the forward rate, f1,2 assuming annual compounding?

  Assume is the same as the risk-free rate

Find the up-factor u and down-factor d = 1/u that satisfy E[S(1)] = 1 + µ?t. Assume µ is the same as the risk-free rate.

  Three entities in a bookstore database

There are 3 entities in a bookstore database as follows, (1) Author, (2) Book, and (3) Publisher. Each book may have more than one author, and each author may write more than one book. Each book was only published by one publisher, and one publisher ..

  Market value that is held in common stock-preferred stock

Based on market values of debt and equity, calculate the percentage of DEI’s market value that is held in common stock, preferred stock, and debt.

  Making capital structure decisions-the overall objective

In making Capital Structure decisions, the overall objective is to:

  Distinguish an operating liability from financial liability

If an analyst has reformulated balance sheets and income statements, she does not need a cash flow statement to calculate free cash flow?

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!

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