Predicting the company likely balance sheet

Assignment Help Finance Basics
Reference no: EM1362279

1- What should you consider when comparing fixed assets turnover of one firm to others? In other words, can you simply compare the ratios and explore the differences or should we strive to learn more before conducting such an analysis?

2 - Class, do you think it is easier to manipulate ratios that come from the balance sheet or from the income statement? Please support your view.

3 - Do you think the percentage of sales method may be more or less accurate in predicting the company's likely balance sheet?

4 - Carter Corporation 's sale to increase from $5 millions in 2004 to $6 millions in 2005, or by 20%. It's assets totaled $3 millions at the end of 2004. Carter is at full capacity, so it's assets must grow the same rate as projected sales.
At the end of 2004, current liabilities were $1 millions, consisting of $250,000 of notes payables, and $250,000 of accruals. The after-tax profit margin is forecasted to be 5%, and the forecasted payout ratio is 70%.

*Use the AFN formula to forecast Carter's additional funds need for the coming year.

 

Reference no: EM1362279

Questions Cloud

Illustrate what is the marketing concept recognizes : Illustrate what is the marketing concept recognizes that individuals pass through stages in the course of their lives in groups that are related to their age, period of mat¬uration, and environmental events.
Write program to calculate integer part of quotient : Write program segments that accomplish each of the following tasks:Calculate the integer part of the quotient when integer a is divided by integer. Calculate the integer remainder when integer a is divided by integer b.
Case management plan for female suffering from depression : I am not sure how to develop a case management plan for a female client who is suffering from depression, has no history of drug or alcohol use, has criminal background for child abuse, and her children are currently in the custody of the state.
Illustrate tax systems could not be structured to satisfy : Illustrate which of the following tax systems could NOT be structured to satisfy conditions of vertical equity.
Predicting the company likely balance sheet : Do you think the percentage of sales method may be more or less accurate in predicting the company's likely balance sheet?
Ethical issues in the health care-heart attack : Research over the years continues to find that among heart attack victims, those with diagnosed mental illnesses are less likely to receive aggressive treatment as those heart attack victims with no diagnoses of mental illness.
Write program to read the size of side of square : Write a program that reads in the size of the side of a square and then prints a hollow square of that size out of asterisks (i.e., *) and blanks.
Find the company current stock price : A corporation's last dividend was $1. Its dividend growth rate is expected to be constant at 15 percent for two years, after which dividends are expected to grow at a rate of 10% forever. The required return is 12%.
Possible diagnosis for cindy : Reviewing possible mental, genetic and childhood disease, what do you think are some possible diagnoses for Cindy and why?

Reviews

Write a Review

Finance Basics Questions & Answers

  Computation of value of the stock or market had no knowledge

Computation of value of the stock and which the market had no knowledge of prior to the announcement

  What are the cost savings to each party

whereas Virgin can borrow dollars at 8% and pounds at 8.5% and What range of interest rates would make this swap attractive to both parties and what are the cost savings to each party?

  Determine new contribution margin

Har Company sold 5,000 units for a prie of $50 per unit and had the following data, If the sales price per unit were to increase by 10%,

  Acquisition talks of acme with jel and dbc

Acme has been in acquisition talks with 2 different European firms. JEL Industries is headquartered in country that is part of European Union while DBC Industries is headquartered in European country that doesn't belong to the Union and doesn't us..

  Subsidiary corporation as well as calculation of income

Sale of Machinery to Subsidiary Corporation as well as Calculation of Income in Acquired Company

  Money left on table with ipo

Considering investors, the company, and the investment banker, who is happy about the money left on the table and who is not happy. Explain.

  Optimal cpa business structure

Which business structure would you select if you were to set up your own CPA practice: a partnership, proprietorship, or corporation? Why? Explain what factors affect your decision.

  Voluntary workout versus bankruptcy

Write down the advantages and disadvantages of voluntary workout to resolve financial distress? What are the advantages and disadvantages of declaring bankruptcy to solve financial distress?

  Find how many physical units are accounted

In Davis Company, there are 2,000 units in beginning work in process, 11,000 units started into production, and 1000 units in ending work in process 55 percent complete.

  High tech firm acquisition

Your firm is interested in acquiring a high tech firm to expand its business. It is considering making the acquisition usingcash, stock, or a combination of both.

  Computation of value of ibm

Examine the structure and activities in your reference organization and identify two projects or events that required an investment. One should be current and the other non-current.

  Description of dominant strategy

Write down the major ways that the risks of exchange rate changes can be hedged against? What are the ways a multinational corporation can reposition its funds to increase its profits?

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