Financial Management Essay

627 words - 3 pages

Case 1
Comparative financial statements for Butter Cookies for the fiscal year ending December 31 appear below. The company did not issue any new ordinary or preference share during the year. A total of 600 thousand ordinary shares were outstanding. The interest rate on the bonds payable was 14%, the income tax was 40%, and the dividend per ordinary share was P0.75. The market value of the company’s ordinary share at the end of the year was P26. All of the company’s sales are on account.
Butter Cookies
Comparative Balance Sheet
(pesos in thousands)
This Year Last Year
Assets
Current assets:
Cash P 1,080 P 1,210
Accounts Receivable, net 9,000 6,500
...view middle of the document...

Gross margin percentage 5. Dividend yield ratio
2. Earnings per share 6. Return on total Assets
3. Price-earnings ratio 7. Return on ordinary shareholders’ equity
4. Dividend payout ratio 8. Book value per share
Compute the following financial data for short term creditors for this year:
1. Working Capital 5. Average collection period
2. Current ratio 6. Inventory turnover
3. Acid-test ratio 7. Inventory turnover
4. Accounts receivable ratio (assume that all sales are on account)
Compute the following financial ratios for long term creditors for this year:
1. Times interest earned ratio
2. Debt-to-equity ratio

Case 2
The following ratios and other data pertain to the financial statements of the UPBEAT Company for the year ended December 31,...

Other assignments on Financial Management

Financial Management Discussion Week 7 Essay

681 words - 3 pages . Thus, while secured bondholders have priority over debenture-holders in the event of default or bankruptcy, debenture-holders have the same priority as other general creditors, such as banks, insurance companies and other financial institutions, and greater priority than shareholders of common or preferred stock. Debentures usually offer higher yields than secured bonds, which is the expected trade-off for increased risk to the principal investment

Financial Management Brigham Chapter 3 Answers

6114 words - 25 pages strengthened; second, management recognizes that the other parties are interested in all the ratios and that financial appearances must be kept up if the firm is to be regarded highly by creditors and equity investors. Equity investors are interested primarily in profitability, but they examine the other ratios to get information on the riskiness of equity commitments. Long-term creditors are more interested in the debt ratio, TIE, and fixed

Fundamentals Of Financial Management

445 words - 2 pages Emily Smith just received a promotion at work that increased her annual salary to $42,000. She is eligible to participate in her employer’s 401(k) retirement plan to which the employer matches, dollar for dollar, workers’ contributions up to 5% of salary. However, Emily wants to buy a new $25,000 car in 3 years, and she wants to have enough money to make a $10,000 down payment on the car and finance the balance. Fortunately, she expects a sizable

Accounting Financial Management

298 words - 2 pages Case Study 4: Why do public-sector projects fail? INTRODUCTION The public-sector is the portion of society controlled by national, state or provincial, and local governments. The composition of public-sector varies by country, but in most countries it encompasses universal, critical services such as national defense, homeland security, police protection, firefighting, urban planning, corrections, taxation, and various social programs. It is no

Unit 3 Ip For Financial Management

444 words - 2 pages American InterContinental University FINA310-1301A-02: Professor Michael James March 5, 2013 Abstract This assignment will use the CGM and the CAPM to calculate some information regarding the XYZ stock market. XYZ Stock Market Information Krf=2% XYZ’s beta =1.64 XYZ’s current annual dividend = $.80 XYZ’s 3-year dividend growth rate (g) = 8.2% Industry P/E = $4.87 KS= (Risk Free Rate) + Beta

Pricing And Financial Management Of Contracts

982 words - 4 pages Hugo Corporation - Maximize Price Competition 1. You are concerned about the clarity of the purchase description in light of the lack of competition on the current purchase. As a buyer, what can you do? a. You can elect to rewrite the purchase description in more detail and have it reviewed in house for feedback. b. Or if circumstances permit, invite interested offerors who reply to the initial solicitation, to an oral presentation of the

Financial Structure

306 words - 2 pages | | | References (Finkler S A Ward D M 2006 Accounting fundementals for healthcare management)Finkler, S. A., & Ward, D. M. (2006). Accounting fundamentals for healthcare management (1 ed.). Sudbury, MA: Jones and Bartlett. (Gapenski L C 2008 financial environment)Gapenski, L. C. (2008). The financial environment. In Health care finance: An introduction to accounting and financial management (4 ed., pp. 25-40

Financial Statements

547 words - 3 pages Done by: Shannan T. Week 1 Assignment: Financial Statements Numbers play a major role in business and to keep track of all of those numbers, financial statements are used. Financial statements are a way of communicating those numbers within the business organization. Financial statements are used as a foundation for decisions that will impact information systems, production, management, and marketing. Any income that a company is

Financial Statements

1525 words - 7 pages service is provided by Verizon. Once the company has identified the economic event, it is recorded in order to provide a history of the organizations financial activities. The accounting process includes the bookkeeping function that usually involves only the recording of economic events (Weygandt, 2008). Collectively, accounting involves the entire process of recording, identifying, and communicating economic events. Management uses

Financial Regulation

954 words - 4 pages foreign licensed institutions • Maintenance of reserve fund, capital, net working funds, liquid assets by the financial institutions • Appointment of auditors, submission of financial statement, exhibition of financial statements, submission of statistics to BNM. Insurance Act 1996 Under the Insurance Act 1996, BNM retains a substantial degree of regulatory control over the management, control of licensees and the critical aspects of their

Financial Statements

1092 words - 5 pages Financial Statements ACC/497 January 30, 2013 Decisions are made daily by company management, lenders, and shareholders. To make informed, intelligent business decisions, there are several strategies that are used by each of the fore mentioned entities. When deciding if investing is the right choice, if a company will be able to repay a loan, or what needs to happen to make a company more efficient, the best way to get an inside look at the

Similar Documents

Financial Management Essay

1309 words - 6 pages HEALTH FINANCIAL MANAGEMENT The Housekeeping Service department of Ruger Clinic, a multispecialty practice in Toledo, Ohio, had $100,000 in direct costs in 2007. These costs must be allocated to Ruger’s three revenue-producing patient services departments using the direct method. Two cost drivers are under consideration: patient services revenue and hours of housekeeping services used. The patient services departments generated $5million in

Financial Management Essay

559 words - 3 pages Aishah Tatum Assignment 4 Financial Management Dr. Woo June 4, 2011 Info Systems Technology (IST) manufactures microprocessor chips for use in appliances and other applications. IST has no debt and 100 million shares outstanding. The correct price for these shares is either $14.50 or $12.50 per share. Investors view both possibilities as equally likely, so the shares currently trade for $13.50. IST must raise $500 million to build a

Financial Management Essay

4853 words - 20 pages ; second, management recognizes that the other parties are interested in all the ratios and that financial appearances must be kept up if the firm is to be regarded highly by creditors and equity investors. Equity investors are interested primarily in profitability, but they examine the other ratios to get information on the riskiness of equity commitments. Long-term creditors are more interested in the debt ratio, TIE, and fixed-charge coverage

Financial Management Analysis

4171 words - 17 pages conclusion is based on the data available from the Annual Reports of the companies. A conclusion can be drafted for PZ Cussons Plc after evaluating its financial position and benchmarking its performance against its competitor Proctor and Gamble. The overall analysis suggests both companies are considerably healthy in their respective business activities; there are a few inefficiencies which can be highlighted on the operational / management side