What is the profit margin

Assignment Help Finance Basics
Reference no: EM132807293

A firm has a payout ratio of 40 percent and a sustainable growth rate of 8.5%. The capital intensity ratio is 1.1 and the debt-equity ratio is.5. What is the profit margin?

Reference no: EM132807293

Questions Cloud

Calculate the nominal annual cost of trade : Cost of Trade CreditA 1/15, net 20. %B 2/10, net 55. %C 3/10, net 45. %D 2/10, net 45. % Calculate the nominal annual cost of trade credit under each
What is free cash flow : The firm's current liabilities consist of only accounts payable, accruals, and notes payable. What is its free cash flow (FCF)?
Determine the dollars of sales revenue and service revenue : Determine the dollars of Sales Revenue and Service Revenue from the January 1 bundled sale that should be reported in the income statement
What is the projected cost of goods sold : Using the percentage-of-sales method, what is the projected cost of goods sold for the year 2019?
What is the profit margin : A firm has a payout ratio of 40 percent and a sustainable growth rate of 8.5%. The capital intensity ratio is 1.1 and the debt-equity ratio is.5.
Make balance day adjustments for prepayments and accruals : Make balance day adjustments for prepayments and accruals using the general journal. Record the balance day adjustment on 30th Jun 2011
What is the depreciable value of the new machine : The cost of a new machine is $40,000 and the new machine takes $2,000 to install. At the end of its useful life, its salvage value is $5,000.
Length of cash conversion cycle-mark manufacturing : Mark's Manufacturing's average age of accounts receivable is 45 days, the average age of accounts payable is 40 days, and the average age of inventory is 69 day
Calculate the nominal annual yield compounded half-yearly : Calculate the nominal annual yield compounded half-yearly that Biti Bank realised. You may give your answer as a percentage per annum to the nearest percent

Reviews

Write a Review

Finance Basics Questions & Answers

  What would the gordon model value be

what is its value if the previous dividend was D0=$2 and investors expect dividends to grow at a constant annual rate of (1) -5%, (2) 0%, (3) 5% or (4) 10%?

  What rate of return will be realize per quarter and per year

If the bond dividend is in fact paid for the following 5 years (after the 2 years) and the investor then sells the bond for $7000, what rate of return will be realized ( a ) per quarter and ( b ) per year (nominal)?

  Why might the financial performances differ

Compare the 8 financial ratios listed below for the four companies. Answer the following questions. Why might their financial performances differ?

  Incremental cash flow problem

As the marketing manager, you have been tasked to consider expanding the detergent product line. Brand XYZ is a discount detergent product that expects

  Computing the future value of annuity

An employee works at the local hamburger restaurant for 40 years and never earns more than minimum wage-What are your thoughts regarding this sum?

  Attraction of foreign investments to australian investors

Explain how low Australian interest rates can affect the tendency of Australia-based MNCs to invest abroad and In general terms, what is the attraction

  Profit maximizing firm in a competitive

1. Are the following statements true, false? Please give an explanation.

  Financial managers to maximize shareholders wealth

PROJECT IS ON FORD MOTOR COMPANY using the information below The objective of a firm is to maximize shareholder wealth. The Net Present Value (NPV) method is one of the useful methods that help financial managers to maximize shareholders' wealth.

  What is agn capital structure weight of debt

AGN Inc has a WACC of 6%, a cost of debt of 5% and a cost of equity of 7.2%. AGN's tax rate is 20%. What is AGN's capital structure

  What is yield to maturity

The bonds pay interest annually and have a 13.2% coupon rate. If the current price of the bonds is $1,025, what is their yield to maturity (YTM)?

  What is net working capital

What is net working capital? Why a low value for this number might be considered Undesirable?

  Today in exchange for the call price

The bonds originally were sold at their face value of $1,000. Compute the realized rate of return for investors who purchased the bonds

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