Corporate Finance Assignment
Sheet1
| 1 | |||||||
| Mket value | 275,000 | ||||||
| EBIT | 21,000 | ||||||
| Number of shares | 5,000 | ||||||
| Debt issue | 99,000 | ||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 0 | 0 | 0 | ||||
| Net income | 12,600 | 21,000 | 26,250 | ||||
| Numer shares | 5,000 | 5,000 | 5,000 | ||||
| EPS | 2.52 | 4.20 | 5.25 | ||||
| -40% | 25% | ||||||
| Share price | 55 | ||||||
| Number of shares | 1,800 | ||||||
| Interest expense | 7,920 | ||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 7,920 | 7,920 | 7,920 | ||||
| Net income | 4,680 | 13,080 | 18,330 | ||||
| Numer shares | 3,200 | 3,200 | 3,200 | ||||
| EPS | 1.46 | 4.09 | 5.73 | ||||
| -64% | 40% | ||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 0 | 0 | 0 | ||||
| EBT | 12,600 | 21,000 | 26,250 | ||||
| Tax expense | 4,410 | 7,350 | 9,188 | ||||
| Net income | 8,190 | 13,650 | 17,063 | ||||
| Numer shares | 5,000 | 5,000 | 5,000 | ||||
| EPS | 1.64 | 2.73 | 3.41 | ||||
| -40% | 25% | ||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 7,920 | 0 | 7,920 | 0 | 7,920 | ||
| EBT | 4,680 | 13,080 | 18,330 | ||||
| Tax expense | 1,638 | 4,578 | 6,416 | ||||
| Net income | 3,042 | 8,502 | 11,915 | ||||
| Numer shares | 3,200 | 3,200 | 3,200 | ||||
| EPS | 0.95 | 2.66 | 3.72 | ||||
| -64% | 40% | ||||||
| Market to book value of 1 | |||||||
| ROE= Net income / Equity | |||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 0 | 0 | 0 | ||||
| Net income | 12,600 | 21,000 | 26,250 | ||||
| Numer shares | 5,000 | 5,000 | 5,000 | ||||
| EPS | 2.52 | 4.20 | 5.25 | ||||
| -40% | 25% | ||||||
| ROE | 4.58% | 7.64% | 9.55% | ||||
| -40% | 25% | ||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 7,920 | 7,920 | 7,920 | ||||
| Net income | 4,680 | 13,080 | 18,330 | ||||
| Numer shares | 3,200 | 3,200 | 3,200 | ||||
| EPS | 1.46 | 4.09 | 5.73 | ||||
| -64% | 40% | ||||||
| ROE | 2.66% | 7.43% | 10.41% | 55 | |||
| -64% | 40% | 176,000 | |||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 0 | 0 | 0 | ||||
| EBT | 12,600 | 21,000 | 26,250 | ||||
| Tax expense | 4,410 | 7,350 | 9,188 | ||||
| Net income | 8,190 | 13,650 | 17,063 | ||||
| Numer shares | 5,000 | 5,000 | 5,000 | ||||
| EPS | 1.64 | 2.73 | 3.41 | ||||
| -40% | 25% | ||||||
| ROE | 2.98% | 4.96% | 6.20% | ||||
| -40% | 25% | ||||||
| Recession | Normal | Expansion | |||||
| EBIT | 12,600 | 21,000 | 26,250 | ||||
| Interest | 7,920 | 0 | 7,920 | 0 | 7,920 | ||
| EBT | 4,680 | 13,080 | 18,330 | ||||
| Tax expense | 1,638 | 4,578 | 6,416 | ||||
| Net income | 3,042 | 8,502 | 11,915 | ||||
| Numer shares | 3,200 | 3,200 | 3,200 | ||||
| EPS | 0.95 | 2.66 | 3.72 | ||||
| -64% | 40% | ||||||
| ROE | 1.73% | 4.83% | 6.77% | ||||
| -64% | 40% |