What are its sales

Assignment Help Accounting Basics
Reference no: EM133060061

Questions -

Q1. BHT Inc., has an 12 percent return on total assets of $500,000 and a net profit margin of 8 percent. What are its sales?

A. $500,000

B. $370,000

C. $480,000

D. $750,000

Q2. Net income before tax of a company is $50,000. This company has interest bearing securities of $40,000 with weighted average interest rate of 8%. The company has $350,000 of ordinary shares, $350,000 of preference shares and $30,000 of reserves. The interest coverage ratio for this company is close to:

A. 15.63

B. 16.63

C. 12.5

D. 11.75

Q3. Which of the following is correct?

A. Sales and profitability is negatively associated with credit rating.

B. Lenders can use credit scoring scores to determine borrowers' capacity to pay.

C. Credit rating scores can determine the optimal debt equity ratio.

D. A higher Z-score indicates more probability of bankruptcy.

Reference no: EM133060061

Questions Cloud

Compute the budgeted manufacturing overhead rate : Total budgeted labour-hours were 25,000; however, actual labour-hours were 30,000. Compute the budgeted manufacturing overhead (MOH) rate
Evaluate a real-life medium-term : Evaluate a real-life medium-term (1-3 years) investment opportunity across these asset classe: stocks, bonds, alternative investments.
What is the indirect cost applied to jobs : Total budgeted labour-hours were 25,000; however, actual labour-hours were 30,000. What is the Indirect cost applied to jobs
How much money do you recommend be raised : How much money do you recommend be raised for this Company over the five year period and when? (i.e. in how many tranches (rounds) and timing of each)?
What are its sales : BHT Inc., has an 12 percent return on total assets of $500,000 and a net profit margin of 8 percent. What are its sales
Metrics for tracking cii progress : A list of no more than 4 key milestones that investors will wish to track over the 5 year period to determine the extent to which CII is on track with its plans
Calculating option payoffs : Calculating Option Payoffs (LO2, CFA2). In problem 1, suppose that Hendreeks stock is selling for $105.70 per share on the expiration date.
Compare the ERCs of two firms : Compare the ERCs of two firms that are otherwise identical, but use different accounting bases for external reporting, namely, historical cost accounting
Sources of value for football clubs in europe : What are the sources of value for football clubs in Europe, North America and China?

Reviews

Write a Review

Accounting Basics Questions & Answers

  What decisions could you make for a business

In this topic, the time value of money is revisited. What decisions could you make for yourself or a business that you own or work for using time value of money

  How much will be in your account after ten years

If you invest $800 today in an account that pays 8 percent compounded quarterly, how much will be in your account after ten years

  Describe how nhrc should account for the down payments

Indicate when NHRC should recognize the expense associated with the guarantee of the rowing and cross-country machines.

  Evaluate any damaging financial and ethical repercussions

Evaluate any damaging financial and ethical repercussions of failure to include the inventory write-downs in the financial statements.

  Discuss the importance of senior management in setting

Provide at least two reasons why the internal controls in place at Microsoft were not effective in detecting the accounting errors. Provide specific examples.

  How much gain will theatre corp recognize

Yancy also transfers $1,000 cash in addition to the voting stock. How much gain will Theatre Corp. recognize from this exchange? Explain your response

  The store had 3000 of ski boots in inventory at the

a sporting goods store purchased 7000 of ski boots in october. the store had 3000 of ski boots in inventory at the

  What are a obligations for reporting detected weaknesses

What are A's obligations for reporting detected weaknesses in the internal control system of Small Company Ltd

  What is the present value cost of tuition

If you choose to discount these cash flows at an annual rate of 7%, what is the present value cost of tuition to attend your university of choice

  Compute the cost assigned to ending inventory using a fifo

anthony company uses a perpetual inventory system. it entered into the following purchases and sales transactions for

  Prepare adjusting entries to propose to the school district

Prepare adjusting entries to propose to the School District. Prepare a four-column proof of cash for the month ended March 31

  Prepare a contribution format income statement

Prepare a contribution format income statement that shows the expected net operating income each year from the franchise outlet

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