Question 6 (8 points). Assume that Beta Corp. has 50,000 shares outstanding at the end...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Question 6 (8 points). Assume that Beta Corp. has 50,000 shares outstanding at the end of 2021 and 2022. The stock sold for $120 and $150 per share at the end of 2021 and 2022, respectively. Calculate financial ratios for Beta Corp. in 2021 and 2022 by filling in the following table (to get full marks, in each cell, please show your calculation). Given the industry average, make relevant rating for Beta Corp. by indicating whether a ratio is Good, Not Good, or Acceptable. Current ratio Quick ratio Cash ratio Total debt ratio Equity multiplier Times interest earned (TIE) ratio Inventory turnover Day's sales in inventory Receivables turnover Day's sales in receivables Total assets turnover Profit margin Return on assets (ROA) Return on equity (ROE) Price/Earnings ratio (P/E) Market-to-book ratio 2021 2022 Short-Term Solvency (Liquidity) Long-Term Solvency (Financial Leverage) Asset Management (Turnover) 2 Profitability Market Value Ratios Industry 1.15 0.5 0.2 0.35 1.54 4.25 4.6 79.35 12.5 30 0.71 17.06% 12.11% 18.65% 12.75 2.25 Rating
Question 6 ( 8 points). Assume that Beta Corp. has 50,000 shares outstanding at the end of 2021 and 2022. The stock sold for $120 and $150 per share at the end of 2021 and 2022, respectively. Calculate financial ratios for Beta Corp. in 2021 and 2022 by filling in the following table (to get full marks, in each cell, please show your calculation). Given the industry average, make relevant rating for Beta Corp. by indicating whether a ratio is Good, Not Good, or Acceptable. Question 6 ( 8 points). Assume that Beta Corp. has 50,000 shares outstanding at the end of 2021 and 2022. The stock sold for $120 and $150 per share at the end of 2021 and 2022, respectively. Calculate financial ratios for Beta Corp. in 2021 and 2022 by filling in the following table (to get full marks, in each cell, please show your calculation). Given the industry average, make relevant rating for Beta Corp. by indicating whether a ratio is Good, Not Good, or Acceptable. Question 6 ( 8 points). Assume that Beta Corp. has 50,000 shares outstanding at the end of 2021 and 2022. The stock sold for $120 and $150 per share at the end of 2021 and 2022, respectively. Calculate financial ratios for Beta Corp. in 2021 and 2022 by filling in the following table (to get full marks, in each cell, please show your calculation). Given the industry average, make relevant rating for Beta Corp. by indicating whether a ratio is Good, Not Good, or Acceptable
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!