Scenario 1 the financial statements and data shown below are to be used for the next three (3) questions. all figures are in millions except the tax rate and the year-end stock price. balance sheet cash $ 140.0 accounts payable $ 800.0 accts. receivable 880.0 notes payable 600.0 inventories 1,320.0 accruals 400.0 total current assets $2,340.0 total current liabilities $1,800.0 long-term bonds 1,000.0 total debt $2,800.0 common stock 200.0 retained earnings 1,000.0 net plant & equip. 1,660.0 total common equity $1,200.0 total assets $4,000.0 total liabilities & equity $4,000.0 income statement net sales $6,000.0 operating costs 5,599.8 depreciation 100.2 ebit $ 300.0 less: interest 96.0 ebt $ 204.0 less: taxes 81.6 net income $ 122.4 other data shares outstanding 60.00 common dividends $42.8 federal plus state income tax rate 40% year-end stock price $30.60 use scenario 1 to answer the question. what is the firm’s p/e ratio?

Companies hd and ld are both profitable, and they have the same total assets (ta), total invested capital, sales (s), return on assets (roa), and profit margin (pm). both firms finance using only debt and common equity. however, company hd has the higher total debt to total capital ratio. which of the following statements is correct? a) company hd has a higher assets turnover than company ld. b) company hd has a higher return on equity than company ld. c) none of the other statements are correct because the information provided on the question is not enough. d) company hd has lower total assets turnover than company ld. e) company hd has a lower operating income (ebit) than company ld

Verizon communications, inc., provides the following footnote relating to its leasing activities in its 10-k report. the aggregate minimum rental commitments under noncancelable leases for the periods shown at december 31, 2010, are as follows: years (dollars in millions) capital leases operatingleases 2011 $97 $1,898 2012 74 1,720 2013 70 1,471 2014 54 1,255 2015 42 1,012 thereafter 81 5,277 total minimum 418 $ 12,633 rental commitments less interest and (86) executory costs present value of 332 minimum lease payments less current (75) installments long-term obligation $257 at december 31, 2010 (a) confirm that verizon capitalized its capital leases using a rate of 7.4 %. (b) compute the present value of verizon's operating leases, assuming an 7.4% discount rate and rounding the remaining lease term to 3 decimal places. (use a financial calculator or excel to compute. do not round until your final answers. round each answer to the nearest whole number.)

crow design, inc. is a web site design and consulting firm. the firm uses a job order costing system in which each client is a different job. crow design assigns direct labor, licensing costs, and travel costs directly to each job. it allocates indirect costs to jobs based on a predetermined overhead allocation rate, computed as a percentage of direct labor costs. direct labor hours (professional) 6,250 hours direct labor costs ($1,800,000 support staff salaries ,000 computer ,000 office ,000 office ,000 in november 2012, crow design served several clients. records for two clients appear here: delicious treats mesilla chocolates direct labor 700 hours 100 hours software licensing $ 4,000 $400 travel costs 8,000 1. compute crow design’s direct labor rate and its predetermined indirect cost allocation rate for 2012. 2. compute the total cost of each job. 3. if simone wants to earn profits equal to 50% of service revenue, how much (what fee) should she charge each of these two clients? 4. why does crow design assign costs to jobs?