A firm has a debt-equity ratio of .39. For every $1 in assets, how much money did the firm borrow (that is, how much of that $1 is financed with debt)?
A. 0.36
B. 0.28
C. 1.39
D. 1.56
E. .64
A firm has a debt-equity ratio of .39. For every $1 in assets, how much money...
Hutchinson Corporation has zero debt - it is financed only with common equity. Its total assets are $330,000. The new CFO wants to employ enough debt to bring the debt/assets ratio to 40%, using the proceeds from the borrowing to buy back common stock at its book value. How much must the firm borrow to achieve the target debt ratio? Select the correct answer. a. $132,000.00 b. $131,986.90 c. $131,973.80 d. $131,960.70 e. $132,013.10
4. A firm has Debt-Equity ratio of 1.2 and Total Assets of $2 million. What must be total debt? 5. A firm has sales of $355,000, net income of $28,000, and dividends of $12,500. Total debt is $73,000 and Total equity is $95,000. If the firm grows at the SGR, issues no new equity, and maintains its Debt-Equity ratio, how much must be borrowed?
4. A firm has Debt-Equity ratio of 1.2 and Total Assets of $2 million. What must be total debt? 5. A firm has sales of $355,000, net income of $28,000, and dividends of $12,500. Total debt is $73,000 and Total equity is $95,000. If the firm grows at the SGR, issues no new equity, and maintains its Debt-Equity ratio, how much must be borrowed?
A firm has sales of $500,000, a debt-to-equity ratio of one, and total assets of $1,000,000. If its profit margin is 5%, what is the firm’s return on equity? a) 3.3% b) 6.7 % c) 5.0 % d) 2.5 % e) Further information is needed,
Question 1(10 pts): D SS Stores has total debt of $4,910 and a debt-equity ratio of 0.52. What is the value of the total assets? a. $16,128.05 b. $7,253,40 c. $9,571.95 d. $11,034.00 e. $14,352.31 i. TJ's has annual sales of $813,200, total debt of $171,000, total equity of $396,000, and a profit margin of 5.78 percent. What is the return on assets? a. 8.29 percent b. 6.48 percent c. 9.94 percent d. 7.78 percent e. 8.02 percent ii) Bernice's...
Beranek Corp. has $410,000 of assets, and it uses no debt—it is financed only with common equity. The new CFO wants to employ enough debt to bring the debt/assetsratio to 40%, using the proceeds from the borrowing to buy back common stock at its book value. How much must the firm borrow to achieve the target debt ratio?
A firm has an equity multiplier of 1.3. This means that the firm has a: A total debt ratio (D/A) of 0.33. O B. debt/equity (D/E) ratio of 0.67. OC. debt/equity (D/E) ratio of 0.33. D. total debt ratio (D/A) of 0.28. E. total debt ratio (DA) of 0.23.
Which of the following does not accurately discuss the debt to equity ratio? A. Communicates how assets are financed B. Communicates to potential lender how much in assets are available which are not already claimed by other creditors C. Total liabilities/stockholder’s equity D. Communicates company’s ability to pay interest on borrowed funds
QUESTION 14 A firm has an equity multiplier of 1.4. This means that the firm has a: A total debt ratio (D/A) of 0.33. B total debt ratio (D/A) of 0.28. debtequity (D/E) ratio of 0.33 Dtotal debt ratio (D/A) of 0.67. E debt/equity (D/E) ratio of 0.67
a firm has total assets of $1940000 and stockholders equity is 698000. What the debt to total asset ratio? 74% 80% 64% None of the items