Question regarding the times-interest-earned ratio

Assignment Help Business Management
Reference no: EM131105394

Suppose a company has a DSO that is considerably higher than its industry average. If the company could reduce its accounts receivable to the point where its DSO was equal to the industry average without affecting its sales or its operating costs, how would this affect (a) its free cash flow? (b) its return on common equity? (c) its debt ratio? (d) its times-interest-earned ratio? (e) its loan / EBITDA ratio? (f) its price/earnings ratio? (g) its market/book ratio?

Reference no: EM131105394

Questions Cloud

Question regarding the dividend tax rate : If you sell this security on the ex-dividend date, tomorrow, what is your annualized after-tax return if you expect the stock price to drop by $1.17? Assume a capital gains tax of 15% and dividend tax rate of 32%.
How the net income for the sixth is affected : If yes, assume that net income for the fifth year and the sixth year is the same andexplain how the net income for the sixth is affected (compared to that for the fifth year)?
Find two designs using open-circuited stubs : Find two designs using open-circuited stubs.
Which of the following would you expect to happen : Investors expect a company to announce a 10% increase in earnings; instead, the company announces a 1% increase. If the market is semi-strong form efficient, which of the following would you expect to happen?a. The stock's price will increase slightl..
Question regarding the times-interest-earned ratio : If the company could reduce its accounts receivable to the point where its DSO was equal to the industry average without affecting its sales or its operating costs, how would this affect (a) its free cash flow? (b) its return on common equity? (c)..
Design a double-stub tuner using open-circuited stubs : Problem 5.9 Design a double-stub tuner using open-circuited stubs with a λ/8 spacing to match a load admittance YL = (0.4 + j1.2)Y0
Make a change in its overhaul operation : An airline maintenance base wants to make a change in its overhaul operation. The present situation is that only one airplane can be repaired at a time, and the expected repair time is 36 hours, whereas the expected time between arrivals is 45 hou..
How much depreciation and amortization expense : How much Depreciation and Amortization Expense did Target record in Fiscal 2009? How much was the Depreciation Expense alone (i.e. excluding Amortization)?
Formulation of financial strategies for businesses : What is the importance of ethics in the formulation of financial strategies for businesses?

Reviews

Write a Review

Business Management Questions & Answers

  Calculate the gross regular pay

The spreadsheet has five tabs: Employee, Department, Time Sheets, Deductions, and Deduction Types. On a new sixth tab, calculate the payroll information for the first week of January 2012 (ending 1/7/2012). Do not delete any data on the other five..

  Rewards system and employee needs assessmentin devising an

rewards system and employee needs assessmentin devising an appropriate reward system incorporting employee values and

  Purpose does the psychological models serve

In your opinion what purpose does the psychological models serve? Explain in your own words. Free association is a therapeutic technique of psychoanalytic model while Rational Emotive Behavior Therapy (REBT) is a cognitive behavioral technique, exp..

  Identify two theoretical concepts of organizational change

Identify two theoretical concepts of organizational change. Write definition Transitional change Transformational change Write a brief introduction about the organization Identify a change that is happening within it. Example _ restructure, new CEO, ..

  What public policy trend do you consider most significant

what public policy trend do you consider most significant at the federal state and local levels? why?1. what public

  Question about public speaking

Question about Public Speaking - Create a six sentence speech on eating healthy using the principles of a good persuasive speech.

  Conflict management for a non-profit organisationselect a

conflict management for a non-profit organisationselect a non-profit organization conflict scenario and create a

  George homans theory of exchange in groups

This paper will address three companies and what makes them worthy of being named the top 100 of the best companies to work for and the primary factor that they share. The paper will further address George Homans' theory of exchange in groups and..

  Difference between a male and female manager and or leader

Compare and contrast the difference between a male and female manager and/or leader

  Analysis of financial performance

Analysis of Financial Performance

  How would you characterize an ethically effective culture

Now that you have an understanding of corporate culture, and the variables that impact it, how would you characterize an ethically effective culture - one that would effectively lead to a profitable and valuable long-term sustainability for the fi..

  Case- adam contracts with beth to buy a certain restaurant

Case- Adam contracts with Beth to buy a certain restaurant, Coffee Café, for Beth, who asks Adam not to reveal her identity. Adam makes a deal with Dina, the owner of the restaurant, and makes a down payment

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