User Account

All Pages

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

1 year engg, state and explain varignons theorem

state and explain varignons theorem

Rubber, What is smoked rubber

What is smoked rubber

Determine energy emissions per capita, What is the energy related CO 2 emi...

What is the energy related CO 2 emissions per capita and per $1,000 of GDP? Add the point representing Florida on the Energy CO 2 intensity graph in Appendix. How does it

Crystal structure, how can we determine the crystal structure of material b...

how can we determine the crystal structure of material by having interplanar spacing d?

Irr, How do you calculate IRR

How do you calculate IRR

Transistor configurations, TRANSISTOR CONFIGURATIONS: Before a transist...

TRANSISTOR CONFIGURATIONS: Before a transistor can be used, it must be connected into an input circuit (by two wires) and an output circuit (two wires).  However, because the t

Engineering mechanics, a circular roller of radius 10cm and of weight 1.8kn...

a circular roller of radius 10cm and of weight 1.8kn rest on a smooth horizontal surface

Base case NPV analysis , How base case NPV analysis is applied in financial...

How base case NPV analysis is applied in financial risk management

Digital electronic.., design a 32:1 multiplexer using 16:1 multiplexer

design a 32:1 multiplexer using 16:1 multiplexer

Gravity, whats the gravitational force?

whats the gravitational force?

Write Your Message!

Captcha
Order Assignment

Featured Services

Order Now

Popular Subjects

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd