Homework Answers
Credit rating is the ability of a company to meet its financial commitment based on financial statements of previous year.
The factors determining the credit rating are:
1) Payment History: It indicates how frequently the repays to its creditors and it's loans.
2) Amount owed: This shows how much the company has borrowed money in comparison to the available credit limits. It helps to ascertain credit utilisation score
3) length of credit history: It means how long the company has been using all the credits
4) New credit: It indicates how many new accounts the company has applied for in the current year.
5) Types of credits in use : It shows the mix of different credits the company is using
Therefore the correct answer is option 2 I.e the ability of a company to repay its loans within 5 years.
The other factors listed shows the earnings of the company or the returns available from the company
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Please solve this question Analyzing a Company for Its Investment Potential In its annual report, WRS...
Please solve this question
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I have posted the requirements needed as mentioned in the question 6. How well is Costco...
I have posted the requirements needed as mentioned in the
question
6. How well is Costco performing from a financial perspective? Do some number-crunching using the data in case Exhibit 1 to support your answer. Use the financial ratios presented in Table 4.1 of Chapter 4 (pages 104-105) to help you diagnose Costco's financial performance. Table:44s Key Financial Ratios: How lo Calculate Them and What They Mean How Calculated What It Shows rofitability ratios Gross profit margin Revenues Cost of...
Please solve this question I want to solve this question on the attached tables Analyzing a...
Please solve this question
I want to solve this question on the attached
tables
Analyzing a company for Its Investment Potential In its annual report, WRS Athletic Supply, Inc., includes the following five-year financial summary. WRS ATHLETIC SUPPLY, INC. Five-Year Financial Summary (Partial; adapted) 2010 2015 5244,524 2011 5137634 17% 2014 2013 2012 5217799 $191,329 5165,013 16% 20% 6% 5% 1,873 1,787 1,615 171,562 150,255 129,664 9% 2,001 191,838 1.191 108,725 41,236 36,356 31.679 27.408 22,516 1,383 (188) 1,063 (138)...
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Question 32: 5pts You would like to evaluate a company's level of profitability. Which of the following metrics is most appropriate to use? a) Return on Sales (ROS) b) Days of Inventory (DOI) c) Quick Ratio Question 33: 5pts You are evaluating a company's financials and notice from the Balance Sheet that it has a large amount of Long Term Liabilities (debt). You'd like to evaluate the company's ability to pay off this debt quickly. What metric is best to...
CENGAGE MINDTAP Assignment 03 - Analysis of Financial Statements Which of the following is true about the leveraging effect? Interest on debt can be deducted from pre-tax income, resulting in a greater taxable income and a smaller available operating income. Interest on debt is a tax deductible expense, which means that it can reduce a firm's taxable income and tax obligation Red Snail Satellite Company has a total asset turnover ratio of 6.00x, net annual sales of $25 million, and...
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Please solve this question
Analyzing a Company for Its Investment Potential In its annual report, WRS Athletic Supply, Inc., includes the following five-year financial summary. WRS ATHLETIC SUPPLY, INC. Five-Year Financial Summary (Partial; adapted) 2010 2015 5244,524 12% 2013 2012 $191,329 5165,013 16% 2011 $137,634 17% 2014 $217,799 14% 6% 1,873 171,562 16% 5% 20% 8% 2,001 191,838 1,787 150,255 1,615 129,664 1,391 108,725 41,236 36,356 31,679 27,408 22,516 1,063 (138) 4,487 8,039 1357 (171) 3,897 6,671 1,383 (188) 3,692...
The following information is available for Splish Brothers Inc.: Cash receipts from operating activities Cash payments from operating activities Net cash used by investing Net cash provided by financing Net increase in cash and equivalents Cash and equivalents at start of year Cash and equivalents at year-end (in million) $940 $290 $250 $900 $660 What is the net increase in cash and equivalents? O $640 $1800 $1300 $2460 Use the following data to determine the total dollar amount of assets...
I have posted the requirements needed as mentioned in the
question
6. How well is Costco performing from a financial perspective? Do some number-crunching using the data in case Exhibit 1 to support your answer. Use the financial ratios presented in Table 4.1 of Chapter 4 (pages 104-105) to help you diagnose Costco's financial performance. Table:44s Key Financial Ratios: How lo Calculate Them and What They Mean How Calculated What It Shows rofitability ratios Gross profit margin Revenues Cost of...
Please solve this question
I want to solve this question on the attached
tables
Analyzing a company for Its Investment Potential In its annual report, WRS Athletic Supply, Inc., includes the following five-year financial summary. WRS ATHLETIC SUPPLY, INC. Five-Year Financial Summary (Partial; adapted) 2010 2015 5244,524 2011 5137634 17% 2014 2013 2012 5217799 $191,329 5165,013 16% 20% 6% 5% 1,873 1,787 1,615 171,562 150,255 129,664 9% 2,001 191,838 1.191 108,725 41,236 36,356 31.679 27.408 22,516 1,383 (188) 1,063 (138)...
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