A firm has sales of $4,790, costs of $2,590, interest paid of $174, and depreciation of $483. The tax rate is 21 percent. What is the cash coverage ratio? Multiple Choice 12.64 times 7.01 times

Q: Richard's Sporting Goods reports net income of $180,000, net sales of $530,000, and average assets…

A: The return on assets is calculated as ratio of net income and average assets.

Q: A company is planning to expand its business is costing OMR 21756. The following cash inflows are…

A: Given information: Initial investment OMR 21,756.00 Year Cash flows 1 OMR 12,960 2 OMR…

Q: 1. You have the following information on the income statement this year: Unit sales: 1,000…

A: Financial statements are official records companies maintain to inform different stakeholders about…

Q: A firm has a tax burden ratio of 0.85, a leverage ratio of 1.25, an interest burden of 0.7, and a…

A: The conceptual formula is represented mathematically:

Q: The following information is available for Multicomm Limited : Asset/Sales is 0.9, change in sales…

A: The internally generate funds can be calculated as per AFN equation

Q: Sales $1,561,836 Operating Income $87,385 Total Assets (investment) $517,201 Target Rate of Return…

A: Please see the next step for the solution

Q: A proposed new investment has projected sales of $720,000. Variable costs are 40 percent of sales,…

A: The income statement is an essential part of the financial statements of the company. It is prepared…

Q: Find out the financial leverage from the following data: Net Worth Rs. 25,00,000 Debt / Equity 3:1…

A: In finance financial leverage is the use of debt to buy more assets. Financial leverage is used with…

Q: What percent does each category represent? Round your answers to the nearest tenth of a percent

A: Information Costs: Transportation Costs = $5.30 Chemical Costs = $3.1 Financial Costs = $8.2…

Q: The capital investment committee of Arches Landscaping Company is considering two capital…

A: Net Present value is present value of cash flow minus initial investment

Q: Assume that a farmer has $157,500 in total assets and 102,600 in total debt faces 20% income tax…

A: The interest rate is the percentage at which a lender charges a borrower for the use of money or…

Q: If the after-tax rate of return for a cash flow series is 11.2% and the corporate effective tax rate…

A: The after-tax rate of return is the rate a project generates after taking the effect of the tax. It…

Q: A firm has a tax burden ratio of 0.85, a leverage ratio of 1.5, an interest burden of 0.9, and a…

A: The conceptual formula is represented mathematically:

Q: This is part a and b please answer both

A: Profit Margin - 37.7% Return on assets- 10.6 %

Q: Initial investmen Discount rate Net Profit 30,000,000 10% 12,937,000

A: Net Present Value (NPV) is a financial metric that measures the difference between the present value…

Q: 22) Consider a position of 2,000,000 investment in asset X and 3,000,000 in Investment Y. Daily…

A: One day standard deviation of asset X (sX) = 2,000,000 * 0.1% = 2,000.One day standard deviation of…

Q: With a firm’s sales revenue of $500,000 and earnings before interest and tax (EBIT) $100,000 and…

A: The Times Interest Earned (TIE) ratio measures a company’s ability to meet its debt obligations…

Q: If a firm had sales of $340,000 during a period and sales returns and allowances of $28,000, its net…

A: Net sales are the difference between total sales and sales return and allowances. It indicates the…

Q: Determine the future value of the following single amounts. Note: Use tables, Excel, or a financial…

A: Future value includes the amount being deposited and amount of interest accumulated over the period…

Q: A financial manager must choose between four alternative Assets: A, B, C, and D. Each asset costs…

A: Under profit maximization model, the main objective of a entity is to earn maximum profit by…

Q: Calculate the HPR of the following investment, entered as a percentage (Example: if your answer is…

A: HPR stands for Holding Period Return, which is a measure used to calculate the return on an…

Q: The following table represents the annual trend of net profit of two different companies The…

A:

Q: 6. Consider the following cash flow series, Aj=1,500 Az=3,000 A3=4,500 A4=6,000 As=7,500 A6-9,000…

A: A1 = 1500, A2 = 3000, A3 = 4500, A4 = 6000 A5 = 7500, A6 = 9000, A7 = 10500 A8 = 12000, A9 = 13500,…

Q: Help Save & Exit AVKAOX224 Corp. has provided the following cost, price, and sales data: Per Unit…

A: The operating income is the amount of profit left after meeting expenses. It is computed by…

Q: Skunk Products' EBIT is $1000, its tax rate is 35%, depreciation is $100, capital expenditures are…

A: Given EBIT is $1000 Tax rate is 35%

Q: Calculate the following values ​​according to the table given: net cash flow, interest 18%…

A: The question is based on the concept of calculation for net present value (NPV). NPV is calculated…

Q: Assume that the net profit margin = 9%, assets are 95 cents for every dollar of sales, and equity is…

A: ROE (DuPont Model) = Net Profit Margin x Asset Turnover x Equity Multiplier   Where, Net Profit…

Q: You are analyzing a company that has cash of $11,880, accounts receivable of $17,380, fixed assets…

A: The quick ratio indicates the ability to pay the company's short-term obligation through the quick…

Q: Here and Gone, Inc., has sales of $17,546,456, total assets of $10,662,678, and total debt of…

A: Net Income will be calculated using formula :   Net Income = Net Sales  ×  Profit Margin

Q: The First National Bank of Trinidad reports a net interest margin of 5.83 percent. It has total…

A: Bank refers to institution that is primarily involved in accepting deposits from public and…

Q: Your firm has total sales of $1,320. Costs are $730 and depreciation is $110. The tax rate is 22…

A: Total sales = $1,320Costs = $730Depreciation expense = $110Tax rate = 22%Required:Operating cash…

Q: Sales Operating Income Total Assets (investment) Target Rate of Return (Cost of Capital) $1,520,437…

A: The ratio analysis is performed to compare the different elements of the financial statements of the…

Q: The ABS company has a capital base of $250 million, an opportunity cost of capital (A) of 17%, a…

A: Economic value added 9EVA) measures the performance of company based on residual wealth calculated…

Q: Operating profit margin is 8.65%.  Sales to assets ratio is 3.20.  Assets are 630,000.  Equity is…

A: Net income is the amount of money that an entity earned after deducting all the expenses from the…

Q: Calculate the FCF for a firm if it has operating cash flows of 800, CAPEX of 280, and a change in…

A: Free cash flow is a company's cash flow of money after deducting all operational costs, capital…

Q: Calculating Profitability Ratios. Aorangiwai River Boats has sales of $15 million, total assets of…

A: RETURN ON ASSETSReturn on Assets is the Ratio between Net Operating Income & Average Total…

Q: Last year Mocha Java, Incorporated had an ROA of 10 percent, a profit margin of 5 percent, and sales…

A: Return on assets refer to an amount that shows the relationship between the profits earned in the…

Q: Determine the future value of the following single amounts. Note: Use tables, Excel, or a financial…

A: Future value is the value of an asset or investment at a specified future date, based on the…

Q: Find the profitability index for Shanfari Company if the initial investment is 7900 OMR and the cash…

A: Profitability index can be calculated by dividing the present worth of future cash flows and the…

Q: 3. Shaheen Pharmaceuticals financial information is given below: Year 1 Investment Revenues Variable…

A: In capital budgeting, sensitivity analysis is a tool used to assess the potential impact of changes…

Q: 5. Eagle Products' EBIT is $680, its tax rate is 30%, depreciation is $42, capital expenditures are…

A: Free Cash FlowThe cash left over after a business has paid its operating costs and maintained its…