Business Finance W2

If a company's net profit margin is 3% and its total asset turnover is 5.5, what is its ROA?

You have the following information about a company: total asset = $350 000; ordinary share equity = $175 000; and ROE = 14.5%. What are the company's earnings available for ordinary shareholders?

A company has an average collection period of 52 days and accounts receivables of $300 000. What are the company's annual sales?

Your company has an average collection period of 30 days and accounts receivables of $345 000. What are the company's annual sales?

A company has a total asset turnover of 4 and sales of $800 000. What are the company's total assets?

You have the following information about a company: quick ratio = 0.80; inventory = $130 000; and current assets = $380 000. What is the company's current ratio?

In a given year a company decreased its inventory by $250 000, increased its accounts receivable by $50 000 and increased its accounts payable by $100 000. What is the net change of the company's cash?

Emma Corp. had earnings before interest and taxes of $500 000 and had a depreciation expense of $200 000 this last year. If the company was subject to an average tax rate of 30%, what was Emma's operating cash flow for the year? If you need to, assume that Emma's interest expense was zero for the year.

Edison Bagels had an operating cash flow equal to $850 for 2012. If its earnings before interest and taxes (EBIT) were $1000 while its tax bill was $300, what was Edison's depreciation expense for the year?

If you only knew a company's total assets and total debt, which item could you easily calculate?

• Sales

• Depreciation

• Total equity

• Inventory