Financial Ratio, Other Engineering

Assignment Help:
The following information was extracted from the accounting records of De Walt Company as at 28 February 2011 (the end of their financial year):
Sales (50% on credit) 1 400 000
Cost of Sales (all goods purchased on credit) 700 000
Net Income after tax 120 000
Tangible Assets 530 000
Inventory 200 000
Receivables 100 000
Cash 50 000
Payables 150 000
Loans @ 10% pa 100 000
Equity (300 000 ordinary shares @ R2 per share) 630 000
NB: Shares are trading at R2,40 per share at present
Required
1.1. Calculate the current ratio and acid test ratio for the current year and comment (NB: ratios for the previous year: Current 1,6:1 and acid test 0,6:1)
1.2. Calculate the debt equity ratio and comment on their level of gearing.
1.3. Calculate the EPS
1.4. Calculate the PE Ratio and comment on its significance.
1.5. Calculate the Market to Book ratio. Explain the importance of this ratio.

Related Discussions:- Financial Ratio

#Corporate Finance Homework, #As an investment advisor you have been approa...

#As an investment advisor you have been approached by a client called Ramesh, who wants some help in investment related matters. Ramesh is currently 45 years old and has Rs 6, 00,

Can you help in my assignment, can you help me in my assignment in Engineer...

can you help me in my assignment in Engineering project and operation management course??

Design of a fermenter, I have a fermenter case study which needs to be comp...

I have a fermenter case study which needs to be completed in the next 16 hours.

DSP HW1, With x[n] denoting the input signal and y[n] denoting the output s...

With x[n] denoting the input signal and y[n] denoting the output signal, give the difference equation relating the input signal to the output signal in the discrete-time domain, gi

Matrices for risk analysis, Matrices for risk analysis: NFPA 551 descr...

Matrices for risk analysis: NFPA 551 describes a technique of using matrices for risk analysis.  Such matrices are quite commonly used in the UK for assessing risk but, fortun

Methods of forging, Q. Describe briefly the following methods of forging : ...

Q. Describe briefly the following methods of forging :        (i) Drop forging        (ii) press forging Ans.  (i) Drop Forging: It is also called die

NIRAN, Why spiral model is called meta model?

Why spiral model is called meta model?

Write Your Message!

Captcha
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