Question :
124.Following the financial statements for Starman Corporation for the year : 1244255
124.Following are the financial statements for Starman Corporation for the year ended December 31, 20×7. Assume that all balance sheet amounts represent both average and ending figures.
Starman Corporation
Balance Sheet
December 31, 20×7
Assets
Cash
$ 20,000
Marketable securities
30,000
Accounts receivable
50,000
Inventory
100,000
Long-term receivables
35,000
Property, plant, and equipment
65,000
Total assets
$300,000
Liabilities and Stockholders’ Equity
Current liabilities
$100,000
Long-term liabilities
60,000
Stockholders’ equity
140,000
Total liabilities and stockholders’ equity
$300,000
Starman Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$400,000
Cost of goods sold
240,000
Gross margin
$160,000
Operating expenses
40,000
Income before income taxes
$120,000
Income taxes expense
30,000
Net income
$ 90,000
What is the inventory turnover for this corporation?
a.
1.6 times
b.
1.2 times
c.
2.4 times
d.
4.0 times
125.Following are the financial statements for Starman Corporation for the year ended December 31, 20×7. Assume that all balance sheet amounts represent both average and ending figures.
Starman Corporation
Balance Sheet
December 31, 20×7
Assets
Cash
$ 20,000
Marketable securities
30,000
Accounts receivable
50,000
Inventory
100,000
Long-term receivables
35,000
Property, plant, and equipment
65,000
Total assets
$300,000
Liabilities and Stockholders’ Equity
Current liabilities
$100,000
Long-term liabilities
60,000
Stockholders’ equity
140,000
Total liabilities and stockholders’ equity
$300,000
Starman Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$400,000
Cost of goods sold
240,000
Gross margin
$160,000
Operating expenses
40,000
Income before income taxes
$120,000
Income taxes expense
30,000
Net income
$ 90,000
What is the return on assets for this corporation?
a.
30.0 percent
b.
75.0 percent
c.
40.0 percent
d.
53.3 percent
126.Following are the financial statements for Starman Corporation for the year ended December 31, 20×7. Assume that all balance sheet amounts represent both average and ending figures.
Starman Corporation
Balance Sheet
December 31, 20×7
Assets
Cash
$ 20,000
Marketable securities
30,000
Accounts receivable
50,000
Inventory
100,000
Long-term receivables
35,000
Property, plant, and equipment
65,000
Total assets
$300,000
Liabilities and Stockholders’ Equity
Current liabilities
$100,000
Long-term liabilities
60,000
Stockholders’ equity
140,000
Total liabilities and stockholders’ equity
$300,000
Starman Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$400,000
Cost of goods sold
240,000
Gross margin
$160,000
Operating expenses
40,000
Income before income taxes
$120,000
Income taxes expense
30,000
Net income
$ 90,000
What is the profit margin for this corporation?
a.
53.3 percent
b.
40.0 percent
c.
22.5 percent
d.
30.0 percent
127.Holiday Corporation provided these figures for the year ended December 31, 20×7:
Cost of goods sold, $516,117; change in inventory, $67,483 decrease; average accounts payable, $64,599.
What is the company’s payables turnover? Round your answer to one decimal place.
a.
9.3 times
b.
6.4 times
c.
6.9 times
d.
7.5 times
128.Days’ payable is a measure of
a.
volatility.
b.
long-term solvency.
c.
profitability.
d.
liquidity.
129.The following information pertains to Jasmin Corporation. Assume that all balance sheet amounts represent both average and ending figures.
Jasmin Corporation
Partial Balance Sheet
December 31, 20×7
Liabilities and Stockholders’ Equity
Current liabilities
$ 60,000
Long-term liabilities
90,000
Stockholders’ equity
150,000
Total liabilities and stockholders’ equity
$300,000
Jasmin Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$80,000
Cost of goods sold
45,000
Gross margin
$35,000
Operating expenses
15,000
Income before income taxes
$20,000
Income taxes expense
5,000
Net income
$15,000
Jasmin Corporation had 6,000 shares of common stock issued and outstanding. The market price of Jasmin common stock on December 31, 20×7, was $20. Jasmin paid dividends of $0.90 per share during 20×7.
What is the return on assets for this corporation?
a.
5.0 percent
b.
11.7 percent
c.
26.7 percent
d.
10.0 percent
130.The following information pertains to Jasmin Corporation. Assume that all balance sheet amounts represent both average and ending figures.
Jasmin Corporation
Partial Balance Sheet
December 31, 20×7
Liabilities and Stockholders’ Equity
Current liabilities
$ 60,000
Long-term liabilities
90,000
Stockholders’ equity
150,000
Total liabilities and stockholders’ equity
$300,000
Jasmin Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$80,000
Cost of goods sold
45,000
Gross margin
$35,000
Operating expenses
15,000
Income before income taxes
$20,000
Income taxes expense
5,000
Net income
$15,000
Jasmin Corporation had 6,000 shares of common stock issued and outstanding. The market price of Jasmin common stock on December 31, 20×7, was $20. Jasmin paid dividends of $0.90 per share during 20×7.
What is the return on equity for this corporation?
a.
10.0 percent
b.
23.3 percent
c.
53.3 percent
d.
5.0 percent
131.The following information pertains to Jasmin Corporation. Assume that all balance sheet amounts represent both average and ending figures.
Jasmin Corporation
Partial Balance Sheet
December 31, 2007
Liabilities and Stockholders’ Equity
Current liabilities
$ 60,000
Long-term liabilities
90,000
Stockholders’ equity
150,000
Total liabilities and stockholders’ equity
$300,000
Jasmin Corporation
Income Statement
For the Year Ended December 31, 2007
Net sales
$80,000
Cost of goods sold
45,000
Gross margin
$35,000
Operating expenses
15,000
Income before income taxes
$20,000
Income taxes expense
5,000
Net income
$15,000
Jasmin Corporation had 6,000 shares of common stock issued and outstanding. The market price of Jasmin common stock on December 31, 2007, was $20. Jasmin paid dividends of $0.90 per share during 2007.
What is the debt to equity ratio for this corporation?
a.
1.0 times
b.
2.5 times
c.
0.4 times
d.
0.6 times
132.The following information pertains to Jasmin Corporation. Assume that all balance sheet amounts represent both average and ending figures.
Jasmin Corporation
Partial Balance Sheet
December 31, 20×7
Liabilities and Stockholders’ Equity
Current liabilities
$ 60,000
Long-term liabilities
90,000
Stockholders’ equity
150,000
Total liabilities and stockholders’ equity
$300,000
Jasmin Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$80,000
Cost of goods sold
45,000
Gross margin
$35,000
Operating expenses
15,000
Income before income taxes
$20,000
Income taxes expense
5,000
Net income
$15,000
Jasmin Corporation had 6,000 shares of common stock issued and outstanding. The market price of Jasmin common stock on December 31, 20×7, was $20.50. Jasmin paid dividends of $0.90 per share during 20×7.
What is the price/earnings (P/E) ratio for this corporation? Round your answer to 2 decimal places.
a.
6.20 times
b.
7.20 times
c.
8.20 times
d.
9.70 times
133.The following information pertains to Jasmin Corporation. Assume that all balance sheet amounts represent both average and ending figures.
Jasmin Corporation
Partial Balance Sheet
December 31, 20×7
Liabilities and Stockholders’ Equity
Current liabilities
$ 60,000
Long-term liabilities
90,000
Stockholders’ equity
150,000
Total liabilities and stockholders’ equity
$300,000
Jasmin Corporation
Income Statement
For the Year Ended December 31, 20×7
Net sales
$80,000
Cost of goods sold
45,000
Gross margin
$35,000
Operating expenses
15,000
Income before income taxes
$20,000
Income taxes expense
5,000
Net income
$15,000
Jasmin Corporation had 6,000 shares of common stock issued and outstanding. The market price of Jasmin common stock on December 31, 20×7, was $20. Jasmin paid dividends of $1.55 per share during 20×7.
What is the dividends yield of this corporation?
a.
9.30 percent
b.
7.75 percent
c.
4.65 percent
d.
6.20 percent
