Masters Finance Assignment- 4 Questions about Financial Analysis & Planning

profiledods2010
financial_analysis_and_financial_planning.xlsx

Instructions

NAME:
To complete the homework assignments in the templates provided:
1. The question is provided for each problem. You may need to refer to your textbook for additional information in a few cases.
2. You will enter the required information into the shaded cells.
3. The cells are coded:
a. T requires a text answer.
b. C requires a calculation. You cannot perform the operation on a calculator and then type the answer in the cell. You will enter the calculation in the cell, and only the final answer will show in the cell. I will be able to review your calculation and correct, if necessary.
c. F requires a number only. In some problems, a “Step 1” is added to help you solve the problem.
4. Name your assignment file as "lastnamefirstinitial-FINC600-Week#", and submit by midnight ET, Day 7.

&16Instructions

Principles of Corporate Finance, Concise, 2nd Edition

P18-2

Problem 18-2
Table 18.11 (p. 484 and also provided below) gives abbreviated balance sheets and income statements for Estée Lauder Companies. Calculate the following ratios:
Answers:
Ratio Formula Calculation
a. Return on assets T C TIP: Interest rate - p. 468
b. Operating profit margin T C
c. Sales-to-assets ratio T C
d, Inventory turnover T C
e. Debt–equity ratio T C
f. Current ratio T C
g. Quick ratio T C

Instructions: Please refer to your book for assistance with your homework. Post your work in the worksheet. Highlight your final answer.

Principles of Corporate Finance, Concise, 2nd Edition

P18-23

Problem 18-23
Suppose that you wish to use financial ratios to estimate the risk of a company's stock. Which of those that we have described in this chapter are likely to be helpful? Can you think of other accounting measures of risk?
Answer:
T

Instructions: Please refer to your book for assistance with your homework. Post your work in the worksheet. Highlight your final answer.

P19-11

Problem 19-11
If a firm pays its bills with a 30-day delay, what fraction of its purchases will be paid in the current quarter? In the following quarter? What if the delay is 60 days?
Answers:
30 day delay T
60 day delay T

Instructions: Please refer to your book for assistance with your homework. Post your work in the worksheet. Highlight your final answer.

P19-17

Problem 19-17
Corporate financial plans are often used as a basis for judging subsequent performance. What do you think can be learned from such comparisons? What problems are likely to arise, and how might you cope with these problems?
Answer:
What do you think can be learned from such comparisons? T
What problems are likely to arise, and how might you cope with these problems? T

Instructions: Please refer to your book for assistance with your homework. Post your work in the worksheet. Highlight your final answer.