What is its net income for company xyz

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Problem 1). Which of the following would increase a firm's internal growth rate (IGR)? Assume all other factors are held constant.

I. Increase its dividend
II. Decrease its dividend
III. Increase its ROA
IV. Decrease its ROA

Problem 2). A firm has an operating cycle of 25 days, a cash cycle of 10 days, and an inventory period of 12 days. Which of the following statements are true?

a. It takes the firm an average of 12 days between when it receives an invoice from purchasing raw material to when it sells finished goods.

b. It takes the firm an average of 25 days between when it receives an invoice from purchasing raw material to when it sells finished goods.

c. It takes the firm an average of 10 days between when it receives an invoice from purchasing raw material to when it has to pay cash for the material.

d. It takes the firm an average of 10 days between when it sells a finished good to when it receives cash from the sale.

Problem 3). Company XYZ has sales of $6500, total assets of $2950, and an equity multiplier (leverage) of 0.65. If its return on equity is 10%, what is its net income?

Reference no: EM132946220

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