AS
Asiah Sheppard
Answers (6)
AS
Answered
Two-sided messages tend to be most effective
A) with better educated audiences.
B) when the other party initially disagrees with the position.
C) when the other party will be exposed to people who will argue points of view different from the position advocated.
D) when the issue discussed is already familiar.
E) Two-sided messages are effective in all of the above situations.
A) with better educated audiences.
B) when the other party initially disagrees with the position.
C) when the other party will be exposed to people who will argue points of view different from the position advocated.
D) when the issue discussed is already familiar.
E) Two-sided messages are effective in all of the above situations.
On Jul 31, 2024
E
AS
Answered
By law, what is the minimum percentage of assets that an employee stock ownership plan (ESOP) must invest in its company's stock?
A) 10
B) 26
C) 51
D) 60
E) 76
A) 10
B) 26
C) 51
D) 60
E) 76
On Jul 28, 2024
C
AS
Answered
A contract is a single promise, made by one person to another, enforceable in court.
On Jul 01, 2024
False
AS
Answered
Which of the following is not a characteristic of a tactical decision?
A) It is a short term decision.
B) It usually does not involve changing the capacity of the company.
C) It is difficult to reverse.
D) Qualitative factors are relevant.
A) It is a short term decision.
B) It usually does not involve changing the capacity of the company.
C) It is difficult to reverse.
D) Qualitative factors are relevant.
On Jun 28, 2024
C
AS
Answered
_____ is generally difficult funding to obtain and the funds are usually provided in stages.
A) Venture capital.
B) Preferred stock.
C) IPO funding.
D) A convertible bond issue.
E) A Dutch Auction IPO.
A) Venture capital.
B) Preferred stock.
C) IPO funding.
D) A convertible bond issue.
E) A Dutch Auction IPO.
On Jun 01, 2024
A
AS
Answered
Kisselburg Corporation has provided the following financial data: 
Dividends on common stock during Year 2 totaled $4,000.The market price of common stock at the end of Year 2 was $5.75 per share.
Required:
a.What is the company's working capital at the end of Year 2?
b.What is the company's current ratio at the end of Year 2?
c.What is the company's acid-test (quick)ratio at the end of Year 2?
d.What is the company's accounts receivable turnover for Year 2?
e.What is the company's average collection period for Year 2?
f.What is the company's inventory turnover for Year 2?
g.What is the company's average sale period for Year 2?
h.What is the company's operating cycle for Year 2?
i.What is the company's total asset turnover for Year 2?
j.What is the company's times interest earned ratio for Year 2?
k.What is the company's debt-to-equity ratio at the end of Year 2?
l.What is the company's equity multiplier at the end of Year 2?
m.What is the company's net profit margin percentage for Year 2?
n.What is the company's gross margin percentage for Year 2?
o.What is the company's return on total assets for Year 2?
p.What is the company's return on equity for Year 2?
q.What is the company's earnings per share for Year 2?
r.What is the company's price-earnings ratio for Year 2?
s.What is the company's dividend payout ratio for Year 2?
t.What is the company's dividend yield ratio for Year 2?
u.What is the company's book value per share at the end of Year 2?
Dividends on common stock during Year 2 totaled $4,000.The market price of common stock at the end of Year 2 was $5.75 per share.Required:
a.What is the company's working capital at the end of Year 2?
b.What is the company's current ratio at the end of Year 2?
c.What is the company's acid-test (quick)ratio at the end of Year 2?
d.What is the company's accounts receivable turnover for Year 2?
e.What is the company's average collection period for Year 2?
f.What is the company's inventory turnover for Year 2?
g.What is the company's average sale period for Year 2?
h.What is the company's operating cycle for Year 2?
i.What is the company's total asset turnover for Year 2?
j.What is the company's times interest earned ratio for Year 2?
k.What is the company's debt-to-equity ratio at the end of Year 2?
l.What is the company's equity multiplier at the end of Year 2?
m.What is the company's net profit margin percentage for Year 2?
n.What is the company's gross margin percentage for Year 2?
o.What is the company's return on total assets for Year 2?
p.What is the company's return on equity for Year 2?
q.What is the company's earnings per share for Year 2?
r.What is the company's price-earnings ratio for Year 2?
s.What is the company's dividend payout ratio for Year 2?
t.What is the company's dividend yield ratio for Year 2?
u.What is the company's book value per share at the end of Year 2?
On May 29, 2024
a.Working capital = Current assets - Current liabilities
= $513,000 - $233,000 = $280,000
b.Current ratio = Current assets ÷ Current liabilities
= $513,000 ÷ $233,000 = 2.20 (rounded)
c.Acid-test (quick)ratio = Quick assets* ÷ Current liabilities
= $366,000 ÷ $233,000 = 1.57 (rounded)
*Quick assets = Cash + Marketable securities + Current receivables
= $243,000 + $0 + $123,000 = $366,000
d.Accounts receivable turnover = Sales on account ÷ Average accounts receivable*
= $1,360,000 ÷ $121,500 = 11.19 (rounded)
*Average accounts receivable =
($123,000 + $120,000)÷ 2 = $121,500
e.Average collection period = 365 days ÷ Accounts receivable turnover
= 365 days ÷ 11.19 = 32.6 days (rounded)
f.Inventory turnover = Cost of goods sold ÷ Average inventory*
= $800,000 ÷ $108,000 = 7.41 (rounded)
*Average inventory = ($106,000 + $110,000)÷ 2 = $108,000
g.Average sale period = 365 days ÷ Inventory turnover
= 365 days ÷ 7.41 = 49.3 days (rounded)
h.Operating cycle = Average sale period + Average collection period
= 49.3 days + 32.6 days = 81.9 days
i.Total asset turnover = Sales ÷ Average total assets*
= $1,360,000 ÷ $1,168,000 = 1.16 (rounded)
*Average total assets = ($1,176,000 + $1,160,000)÷ 2 = $1,168,000
j.Times interest earned = Earnings before interest expense and income taxes ÷ Interest expense
= $77,923 ÷ $21,000 = 3.71 (rounded)
k.Debt-to-equity ratio = Total liabilities ÷ Stockholders' equity
= $493,000 ÷ $683,000 = 0.72 (rounded)
l.Equity multiplier = Average total assets* ÷ Average stockholders' equity*
= $1,168,000 ÷ $666,500 = 1.75 (rounded)
*Average total assets = ($1,176,000 + $1,160,000)÷ 2 = $1,168,000
**Average stockholders' equity = ($683,000 + $650,000)÷ 2 = $666,500
m.Net profit margin percentage = Net income ÷ Sales
= $37,000 ÷ $1,360,000 = 2.7% (rounded)
n.Gross margin percentage = Gross margin ÷ Sales
= $560,000 ÷ $1,360,000 = 41.2% (rounded)
o.Return on total assets = Adjusted net income* ÷ Average total assets**
= $50,650 ÷ $1,168,000 = 4.34% (rounded)
*Adjusted net income = Net income + [Interest expense × (1 - Tax rate)]
= $37,000 + [$21,000 × (1 - 0.35)] = $50,650
**Average total assets = ($1,176,000 + $1,160,000)÷ 2 = $1,168,000
p.Return on equity = Net income ÷ Average stockholders' equity*
= $37,000 ÷ $666,500 = 5.55% (rounded)
*Average stockholders' equity = ($683,000 + $650,000)÷ 2 = $666,500
q.Earnings per share = Net Income ÷ Average number of common shares outstanding*
= $37,000 ÷ 80,000 shares = $0.46 per share (rounded)
*Number of common shares outstanding = Common stock ÷ Par value
= $160,000 ÷ $2 per share = 80,000 shares
r.Price-earnings ratio = Market price per share ÷ Earnings per share
= $5.75 ÷ $0.46 = 12.50 (rounded)
s.Dividend payout ratio = Dividends per share* ÷ Earnings per share
= $0.05 ÷ $0.46 = 10.9% (rounded)
*Dividends per share = Common dividends ÷ Common shares (see above)
= $4,000 ÷ 80,000 shares = $0.05 per share (rounded)
t.Dividend yield ratio = Dividends per share* ÷ Market price per share
= $0.05 ÷ $5.75 = 0.87% (rounded)
*Dividends per share = Common dividends ÷ Common shares (see above)
= $4,000 ÷ 80,000 shares = $0.05 per share (rounded)
u.Book value per share = Common stockholders' equity ÷ Number of common shares outstanding*
= $683,000 ÷ 80,000 shares = $8.54 per share (rounded)
*Number of common shares outstanding = Common stock ÷ Par value
= $160,000 ÷ $2 per share = 80,000 shares
= $513,000 - $233,000 = $280,000
b.Current ratio = Current assets ÷ Current liabilities
= $513,000 ÷ $233,000 = 2.20 (rounded)
c.Acid-test (quick)ratio = Quick assets* ÷ Current liabilities
= $366,000 ÷ $233,000 = 1.57 (rounded)
*Quick assets = Cash + Marketable securities + Current receivables
= $243,000 + $0 + $123,000 = $366,000
d.Accounts receivable turnover = Sales on account ÷ Average accounts receivable*
= $1,360,000 ÷ $121,500 = 11.19 (rounded)
*Average accounts receivable =
($123,000 + $120,000)÷ 2 = $121,500
e.Average collection period = 365 days ÷ Accounts receivable turnover
= 365 days ÷ 11.19 = 32.6 days (rounded)
f.Inventory turnover = Cost of goods sold ÷ Average inventory*
= $800,000 ÷ $108,000 = 7.41 (rounded)
*Average inventory = ($106,000 + $110,000)÷ 2 = $108,000
g.Average sale period = 365 days ÷ Inventory turnover
= 365 days ÷ 7.41 = 49.3 days (rounded)
h.Operating cycle = Average sale period + Average collection period
= 49.3 days + 32.6 days = 81.9 days
i.Total asset turnover = Sales ÷ Average total assets*
= $1,360,000 ÷ $1,168,000 = 1.16 (rounded)
*Average total assets = ($1,176,000 + $1,160,000)÷ 2 = $1,168,000
j.Times interest earned = Earnings before interest expense and income taxes ÷ Interest expense
= $77,923 ÷ $21,000 = 3.71 (rounded)
k.Debt-to-equity ratio = Total liabilities ÷ Stockholders' equity
= $493,000 ÷ $683,000 = 0.72 (rounded)
l.Equity multiplier = Average total assets* ÷ Average stockholders' equity*
= $1,168,000 ÷ $666,500 = 1.75 (rounded)
*Average total assets = ($1,176,000 + $1,160,000)÷ 2 = $1,168,000
**Average stockholders' equity = ($683,000 + $650,000)÷ 2 = $666,500
m.Net profit margin percentage = Net income ÷ Sales
= $37,000 ÷ $1,360,000 = 2.7% (rounded)
n.Gross margin percentage = Gross margin ÷ Sales
= $560,000 ÷ $1,360,000 = 41.2% (rounded)
o.Return on total assets = Adjusted net income* ÷ Average total assets**
= $50,650 ÷ $1,168,000 = 4.34% (rounded)
*Adjusted net income = Net income + [Interest expense × (1 - Tax rate)]
= $37,000 + [$21,000 × (1 - 0.35)] = $50,650
**Average total assets = ($1,176,000 + $1,160,000)÷ 2 = $1,168,000
p.Return on equity = Net income ÷ Average stockholders' equity*
= $37,000 ÷ $666,500 = 5.55% (rounded)
*Average stockholders' equity = ($683,000 + $650,000)÷ 2 = $666,500
q.Earnings per share = Net Income ÷ Average number of common shares outstanding*
= $37,000 ÷ 80,000 shares = $0.46 per share (rounded)
*Number of common shares outstanding = Common stock ÷ Par value
= $160,000 ÷ $2 per share = 80,000 shares
r.Price-earnings ratio = Market price per share ÷ Earnings per share
= $5.75 ÷ $0.46 = 12.50 (rounded)
s.Dividend payout ratio = Dividends per share* ÷ Earnings per share
= $0.05 ÷ $0.46 = 10.9% (rounded)
*Dividends per share = Common dividends ÷ Common shares (see above)
= $4,000 ÷ 80,000 shares = $0.05 per share (rounded)
t.Dividend yield ratio = Dividends per share* ÷ Market price per share
= $0.05 ÷ $5.75 = 0.87% (rounded)
*Dividends per share = Common dividends ÷ Common shares (see above)
= $4,000 ÷ 80,000 shares = $0.05 per share (rounded)
u.Book value per share = Common stockholders' equity ÷ Number of common shares outstanding*
= $683,000 ÷ 80,000 shares = $8.54 per share (rounded)
*Number of common shares outstanding = Common stock ÷ Par value
= $160,000 ÷ $2 per share = 80,000 shares