zacharie101 Posts: 27, Reputation: 1 New Member   #1 Sep 29, 2012, 04:37 PM

Is my homework correct please The bolded are my answers and how I found them tell me if they are right? 1. If the Jason Corp. in 2008, had total assets of $140 million, total liabilities of $78 million, net income of $47.5 million and paid dividends of $6.5 million, retained earnings increased in 2008 by: A) $62 million B) $42 million C) $47.5 million D) $41 million 47.5-6.5=41 E) $36.5 million 2. Given the following data, calculate EBIT: sales- $4,200,000; cost of goods sold- $2,850,000; operating expenses- $580,000; depreciation- $610,000; interest- $200,000 and the tax rate is 35%. A) $554,000 B) $360,000 C) $970,000 D) $160,000 4,200,000-2,850,000-580,000-610,000 E) $914,000 3. The firm has a current ratio of 1.5, a quick ratio of 1.2, sales of $500,000, a profit margin of 10% and an accounts receivable balance of $50,000. What is the firm's receivables turnover? A) 25 times B) 72.6 days C) 16.4 days D) 10 times 500,000/50,000 E) 30 days 4. Alfred's Restaurant has sales of $15,000, total liabilities of $2,600, total equity of $7,900, and a profit margin of 5%. What is the return on assets? A) 10% B) 6.67% C) 7.39% D) 15% E) 7.14% .05*15000=750 2600+7900=10500 750/10500=7.14 5. If the XYZ Corp. forecasts sales of $2,000,000 next year, a forecasted net profit margin of 10% and a 50% dividend payout ratio, what is the forecasted change in retained earnings? A) $180,000 B) $100,000 C) $120,000 D) $200,000 2000000*.10=200000/.50=400000-200000=200000 E) $150,000 6. George Company has 100,000 shares outstanding, EBIT is $1,000,000, interest expense is $300,000, the tax rate is 35% and the dividend payout ratio is 40%, what is the Company's EPS? A) $2.72 B) $4.55 (1,000,000-300,000)*(.65)=455,000/100,000=4.55 C) $5.28 D) $5.20 Help me solve this Question Below you dont have to give me the answers just tell me what steps to take If, in comparing a companies balance sheets for 2009 and 2008, the company had an increase in current assets (excluding cash) of $28,500 and an increase in current liabilities of $15,500 (excluding notes payable-current), and in 2009 they spent $7,800 on new equipment, their depreciation was $1700, they paid interest of $6,000, dividends of $10,000, their taxes were $17,500 , and from the income statement EBIT was $56,000. What was their free cash flow for 2009?

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